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Although the cost of each gallon of ethanol produced in the MicroFueler depends on the price of sugar, electricity, and water, Thomas Quinn maintains that it can be made for somewhere around $1 per gallon. The company is trying to make inedible sugar available from Mexico, which can be bought for as little as 2.5 cents per pound.
Economists associate the decline in price with an oversupply of ethanol, which in turn is caused by rather low domestic consumption and increased ethanol production. Ethanol prices have tumbled from a 2005 high of nearly $0.44 per liter (rack) in January to $0.31 in early April.The lowest prices of ethanol were recorded at $0.28 - $0.29 per liter in high-volume markets like Des Moines, Iowa City, Sioux City, and Omaha during the week of April 4-8.thanol prices have tumbled from a 2005 high of nearly $0.44 per liter (rack) in January to $0.31 in early April. The lowest prices of ethanol were recorded at $0.28 - $0.29 per liter in high-volume markets like Des Moines, Iowa City, Sioux City, and Omaha during the week of April 4-8.