German consumption of hydrotreated vegetable oil (HVO) has risen sharply this year, with direct consequences for trade flows with the Netherlands. Trade association UFOP reports that HVO consumption currently stands at approximately 205.000 tonnes, significantly more than in the same period last year. Figures from the German Federal Office for Economic Affairs and Export Control (BAFA) show an even sharper increase: 270.700 tonnes of HVO were sold in the first five months of 2026, compared to 64.900 tonnes in the same period of 2025.
UFOP cites three regulatory changes as the explanation. The German greenhouse gas reduction obligation rose from 10,6 to 12 percent, double counting for certain biofuels based on waste streams was abolished as of January 1, and companies are no longer allowed to use surpluses from previous quota years to meet the current obligation. According to UFOP, the statutory blending limit of 7 percent for biodiesel is particularly decisive: because conventional biodiesel is not allowed to exceed that limit, fuel suppliers are increasingly resorting to HVO to still meet the reduction obligation. The combined share of biodiesel and HVO in diesel consumption stood at around 9,3 percent in the course of 2026, two percentage points higher than a year earlier, and exceeded 10 percent for the first time in April.
The Netherlands as a hub
This development has a direct impact on trade between Germany and the Netherlands. Figures from the German Federal Statistical Office show that German imports and exports of biodiesel increased in the first half of 2026. Exports rose by over 3,4 percent to 1,4 million tonnes, and imports by 3,5 percent to 851.200 tonnes. Thanks to the storage, production, and trading functions of the ports of Rotterdam and Amsterdam, the Netherlands remains the most important partner for these flows.
Market analysts at the Agrarmarkt Informations-Gesellschaft report that Dutch demand for German biodiesel rose by 22,8 percent year-on-year, while Polish imports actually declined by approximately 20,3 percent. There was also a notable increase from Belgium: deliveries from there rose by about 69,6 percent, whereas Malaysian exports to the EU decreased by 30,2 percent. Additionally, UFOP estimates HVO imports into Germany in the first half of the year at approximately 325.000 tonnes, a volume not included in the official Destatis figures but which underscores the continued interest in rapeseed-based fuels.
Outlook mixed
For 2026 as a whole, UFOP expects a total of approximately 650.000 tonnes of HVO and 2,05 million tonnes of biodiesel, based on a linear extrapolation of current figures. For 2027, the organization is more cautious: although the greenhouse gas reduction obligation will then rise further to 17,5 percent, oil companies can utilize unused quotas to meet that higher standard. UFOP therefore expects that physical sales in 2027 will largely remain at the 2026 level.
Meanwhile, export demand has had a stabilizing effect on the rapeseed oil market. UFOP reports that exports to neighboring countries are supporting rapeseed oil prices, benefiting growers' returns at a time when harvest results in the region were disappointing. The organization anticipates strong prices heading into the 2026/2027 season, when EU member states further implement the revised Renewable Energy Directive (RED III) and apply higher biofuel quotas.
Sources biofuels-news.com:
HVO demand surges as tighter GHG quota rules reshape Germany's diesel pool, Germany's biodiesel trade accelerates as EU demand strengthens
Photo: Tjeerd – Adobe Stock, for illustration
