Charles P. Carey, CBOT Chairman, said, "There is tremendous growth potential in ethanol production. Today, ethanol production capacity in the U.S. is three billion gallons, with expectations that it will grow into a five-billion gallon market. Moreover, developing a CBOT corn-based ethanol futures contract is a natural extension of the CBOT's grain futures complex. A CBOT ethanol contract will provide members and traders with increased spreading opportunities with our highly liquid Corn Futures contract -- the world's benchmark for the corn industry."
CBOT President and CEO Bernard W. Dan said, "The move to develop a corn-based ethanol contract is a direct result of discussions with ethanol producers and consumers who are seeking new alternatives to navigate the price fluctuations and volatility that characterize the ethanol market. The CBOT Ethanol Futures contract will feature the transparency and full price discovery for which the CBOT is known."
