Senate legislation has been introduced to reform the biodiesel tax credit, make it a producers credit and extend it for three years. The American Soybean Association backs the measure. ASA Board member and Valley Springs, South Dakota farmer Kevin Scott says the biodiesel incentive has helped the industry grow and this legislation improves upon that.

He says the legislation, which calls for changing the tax incentive from a blenders to a producers credit, is needed to protect the American biodiesel industry from foreign imports.

Scott says by passing a three-year extension for the incentive, rather than one year, gives the industry more certainty and stability.

Biodiesel imports have increased from 510 million gallons in 2014 to one billion gallons in 2016 because foreign producers can use the tax credit.