Ethanol demand for fuel at lowest point in decades, but demand for hand sanitizer is growing

Bloomberg/Fuel Fix:

The American ethanol industry is cutting production like never before as coronavirus lockdowns keep drivers off the roads, crushing demand for fuel.

Output of corn-based biofuel plunged by a record 20% to an average daily rate of 672,000 barrels. That’s the lowest rate since the Energy Information Administration began publishing weekly data in mid-2010. Stockpiles jumped to a record 27 million barrels, underscoring the demand struggles.

Federal regulations mandate nearly every gallon of gasoline sold in the U.S. contain about 10% ethanol. However, after the virus helped drive down oil prices amid a dispute between Russia and Saudi Arabia over production levels, ethanol producers can no longer profitably make the fuel. Dozens of plants have idled or slowed, including top producer POET, which said Tuesday it was idling three facilities in Iowa and South Dakota.
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The ethanol makers need to switch to providing ethanol for hand sanitizers which are still in great demand.  If distilleries can do that, I see no reason why ethanol can't switch to meet that strong demand.  They may have to jump through some legal hoops to do so but I understand a major law firm in the corn belt is working on the issue.  I also suspect that the Trump administration would be favorable toward such a regulatory move.

From a personal standpoint, I would rather see this usage than have it in motor fuel anyway.