A new law in Argentina expected to be signed by the country's president yet this month would set a minimum use of biodiesel of 5% and that could drop to 3% relative to diesel fuel sold to the public.
Currently, Argentine diesel fuel is 10% biodiesel. The law is aimed at sustainable use of biofuels in diesel and gasoline.
The current biodiesel level of 10% uses about 1 million tonnes of biodiesel annually, and industry officials indicate the reduction would mean more supplies would be available for export.
"Lowering the blend in Argentina means higher bean-oil exports," said Luis Zubizarreta, head of Argentina's Carbio biofuel industry chamber, according to Reuters.