399 Agricultural Economics – Czech, 67, 2021 (10): 399–408 Original Paper https://doi.org/10.17221/223/2021-AGRICECON Tis article is based on an oral presentation delivered at the European Association of Agricultural Economists (EAAE) 2021 Congress in Prague, Czech Republic, July 20 th –23 rd , 2021. Financially supported by the Czech Science Foundation (Grant No. 19-26812X). Price transmission in biofuel-related global agricultural networks Karel Janda 1,2 *, Ladislav Krištoufek 1 , Barbora Schererová 2 , David Zilberman 3 1 Institute of Economic Studies, Faculty of Social Sciences, Charles University, Prague, Czech Republic 2 Department of Banking and Insurance, Faculty of Finance and Accounting, Prague University of Economics and Business, Prague, Czech Republic 3 Department of Agricultural and Resource Economics, Rausser College of Natural Resources, University of California, Berkeley, Berkeley, USA *Corresponding author: Karel-Janda@seznam.cz Citation: Janda K., Krištoufek L., Schererová B., Zilberman D. (2021): Price transmission in biofuel-related global agricultural networks. Agric. Econ. – Czech, 67: 399–408. Abstract: Tis article investigates the connections among the prices of biofuels, agricultural commodities and other relevant assets in Europe, the US, and Brazil. Te analysis includes a comprehensive data set covering price data for 38 traded titles during the period from 2003 to 2020. We used the minimum spanning tree (MST) approach to identify price connections in a complex trading system. Our analysis of mutual price connections reveals the major defning features of world-leading biofuel markets. We provide the characteristics of the main bioethanol and biodiesel markets with respect to government policies and technical and local features of the production and consumption of particular biofuels. Despite a relatively long and dynamically evolving history of biofuels, the biofuel systems in the US, Brazil and Europe do not converge toward the same pattern of relations among fossil fuels, biofuels, agricultural commodi- ties and fnancial assets. Keywords: biodiesel; energy and agricultural policies; ethanol; minimum spanning tree As identifed in the early contributions of Tyner and Taheripour (2008) and Tyner (2010), agricultur- al and energy markets had not been closely correlated before the advent of biofuels. All this has changed dur- ing the last 20 years (Timilsina 2018). Te goal of this article is to take empirical data on ag- ricultural and energy commodities and to evaluate their co-movement from a dynamic perspective. We pro- vide an empirical analysis of a global system of biofuel- -induced price transmission among the main energy and agricultural commodities and potentially related fnan- cial assets. Our results show a dynamic evolution of the biofuel-related price co-movements with diferent levels of price integration during the four main sub-periods identifed in our analysis. Despite a relatively long and dynamically evolving history of biofuels, the biofuel systems in the US, Brazil and Europe do not converge toward the same pattern of relations among fossil fuels, biofuels, agricultural commodities and fnancial assets. As outlined in the comprehensive book on bio- fuel policies by de Gorter et al. (2015), the literature on fuel versus food economic policies and resulting price linkages uses three main modelling approaches – theoretical models of channels leading to price con-