The sole ethanol producer in Vietnam is preparing to test U.S. corn as a feedstock with a hammer mill purchased during a mission to the United States in June. The mission is one part of the U.S. Grains Council&rsquo;s efforts to support Vietnamese government and industry members as they work to increase ethanol use under a national E5 blend mandate.
Tung Lam Company is the only company producing ethanol in Vietna, using cassava as a primary feedstock. Prices of domestically-produced cassava have increased since early 2018 due to a demand surge from China and other Southeast Asian countries, leaving limited supply available. As a result, Tung Lam has considered converting cassava-based ethanol production to corn-based and began trial production earlier this year.
USGC organized a technical study mission to Indiana for a group of senior leaders from Tung Lam Company to learn more about the equipment and technology needed to increase corn-based ethanol production efficiency, learn from U.S. ethanol producers and study U.S. corn crop production. The team also attended the International Fuel Ethanol Workshop &amp; Expo in Indianapolis to gain exposure to and learn from U.S. ethanol experts.
&ldquo;This conference is the best place for Tung Lam to learn how to convert their existing cassava-based ethanol plants to using corn,&rdquo; said Manuel Sanchez, USGC regional director for Southeast Asia. &ldquo;This visit is an important component of the Council&rsquo;s fuel ethanol promotion in Vietnam to help the country meet its current ethanol mandate and move toward higher blends.&rdquo;
The hammer mill Tung Lam officials purchased will enable the company to utilize corn as well as cassava in their plant.
&ldquo;This front-end equipment will give Tung Lam the capacity to grind up to 150,000 metric tons (5.9 million bushels) of corn per year at their ethanol plant in Dong Nai,&rdquo; Sanchez said. &ldquo;The company also purchased 40,000 tons (1.57 million bushels) of U.S. corn during their time in Indiana.&rdquo;
As the fastest-growing economy in Southeast Asia, Vietnam&rsquo;s total gasoline consumption is expected to grow by nearly 15 percent by 2022 as Vietnam&rsquo;s rising middle class takes advantage of different transportation options with a rapidly-growing number of motor scooters and cars on the road.
To fuel those vehicles, Vietnam rolled out an E5 ethanol policy on Jan. 1, 2018, with a goal to move to E10 by 2020. Tung Lam is a strong domestic advocate for increasing fuel ethanol blends in Vietnam, which will benefit Vietnamese consumers, the company and potential export demand to fill ethanol needs beyond Tung Lam&rsquo;s domestic production.
&ldquo;As the only ethanol supplier in Vietnam, Tung Lam&rsquo;s operation is critical to Vietnam&rsquo;s E5 implementation and the Council&rsquo;s ethanol promotion,&rdquo; Sanchez said. &ldquo;Their ability to provide a consistent supply of fuel ethanol to the domestic market will pave the way for increased blend rates and create new demand for corn imports.&rdquo;
<a href="https://grains.org/news-events/newsroom/#country=44&amp;commodity=13" target="_blank">Learn more about the Council&rsquo;s work to increase ethanol use in Vietnam.</a>
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Tung Lam is a strong domestic advocate for a higher fuel ethanol blend in Vietnam, which will benefit Vietnam's population, the company and potential export demand to fill needs exceeding Tung Lamâ€™s domestic production.

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The sole ethanol producer in Vietnam is preparing to test U.S. corn as a feedstock with a hammer mill purchased during a mission to the United States in June. The mission is one part of the USGC's efforts to support the country's E5 mandate. 

USGC: Vietnam ethanol producer purchases equipment, US corn

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