Pannonia Ethanol

Pannonia Ethanol produces fuel ethanol and animal feed. The company is part of Ethanol Europe Renewables Limited and is located in Dunaföldvár, Tolna County, Hungary. The facility currently utilizes more than 1,000,000 tons of corn annually to produce 450 million litres of renewable ethanol, 325,000 tons of Dried Distillers Grains with Solubles (DDGS), a high protein animal feed, and 10,000 tons of corn oil, a great animal feed ingredient. Pannonia Ethanol produces as much animal feed as renewable ethanol.

Pannonia Ethanol, the leading renewable ethanol producer in Central and Eastern Europe, adds nearly EUR 500 million to Hungary’s GDP and supports 2000 jobs, mostly in rural areas.

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Latest case study

Macroeconomic impact of Pannonia Ethanol in Hungary

Pannonia Ethanol’s renewable ethanol production integrates the local agricultural communities with investment, innovation and providing the premium animal feed. Pannonia Ethanol's suppliers earn income, generate valued added and create jobs as a result of their sales to Pannonia Ethanol. Therefore, the material inputs needed for producing ethanol increase demand within certain sectors of the economy. This study by Hétfa (2016) measures and explains the overall impact of Pannonia Ethanol on the Hungarian economy.

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Pannonia Ethanol is an integral part of agricultural communities in Hungary and provides an important market for corn crops. Locally grown renewable feedstock for low carbon fuel displaces imports of high carbon fossil feedstock for oil based fuels. Ethanol refineries are best located close to feedstock suppliers and create local markets for crop growers. Farmers are encouraged to develop sustainable intensification, leading to increased yields and investment in up-to-date farm technologies. Ethanol refineries also supply farmers with high quality protein animal feed that displaces imports of feed into Europe.

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Further expansion for Pannonia Ethanol plant in Tolna County, Hungary


Ethanol and animal feed output, exports, employment and corn buying all set to increase

Euro135,000,000 consortium credit facility agreement completed

Government support sought to stop EU Commission plan to “phase out” ethanol

Commission policy on ethanol to result in loss of energy security, tens of thousands of jobs and increased costs to consumers


Destructive policy towards the ethanol industry in Brussels will continue to drive away billions of Euros in investments and cost rural communities tens of thousands of jobs. “The negative impact of these policies on Hungarian GDP alone we estimate at €1billion,” Mark Turley, CEO of Ethanol Europe, said in Budapest today in response to the European Commission’s new Low-Emission Mobility Strategy.

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