who is benifitting from the government incentive?

The price of the wvo is close to $3.00/gallon

The price of the biodiesel sold by HOUSTON BIODIESEL is only $3.259/gallon. This is retail price, not the wholesale price!

Where is the profit margin for the producer? I know there is $1/gallon tax incentive, but don't forget the cost of coverting the wvo to bioiesel is also close to $1/gallon!

Government looks like is encourage the wvo -> biodiesel industry, but the incentive makes the price of feedstock so high that there is no profit margin for the producer!

Looks like the wvo collectors are the winner, but as I know, it is more and more difficult to get wvo even pay high price. Because there are so many collectors around the market.

I didn't see anyone benifit from the incentive from the government. It makes the market abnormal and in bad competition.

Any comments?

Thanks a lot

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