Ethanol growth not leading to cropland expansion, new USDA report shows
An in-depth analysis of U.S. land use patterns released today by the U.S. Department of Agriculture shows total cropland decreased by 34 million acres from 2002 to 2007, the lowest level since USDA began collecting this data 1945. The RFA said the new report is one more addition to the mounting body of evidence that proves increased ethanol production has not resulted in expansion of total U.S. cropland or a decline in grassland and forest.
Posted in Agriculture, Land Use, Research, USDA
RFA to President Obama: Take pride in U.S. ethanol industry
In a letter sent to President Obama today, the Renewable Fuels Association urged the President to take pride in the U.S. ethanol industry, as they detailed the dynamic state of the industry. The letter was prompted by remarks the President made during his Twitter town hall event earlier this week, in which the President seemed to question the commitment of ethanol producers and advocates to innovation.
Posted in Ethanol, Food, Jobs, Production, USDA
Senate Ethanol Debate: Peeling Away the Onion
For ethanol interests, the United States Senate was a cauldron of confusion this week. As is often the case in Washington, things are not as they appear. This week's ethanol debate had little to do with ethanol and even less to do with true energy policy. It was old fashioned political theater.
Posted in Agriculture, E15, Ethanol, Energy, Jobs, OPEC, Oil, Tariff , USDA, VEETC
Ethanol Export Boom Continues; USDA Trims Corn Acre Estimate
Today was a busy day for ethanol and grain market data junkies. First, USDA released its June supply-demand estimates, which showed a downward revision to 2011 planted and harvested corn acres. Second, government data on April exports of ethanol and distillers grains was released, showing another record month of ethanol exports and huge shipments to Brazil.
Posted in Agriculture, Ethanol, Exports, Land Use, Production, USDA
Talking Turkey on Ethanol, Distillers Grains
Distillers grains have become an important component of the livestock feed market. Still, some in the poultry industry would rather malign this nutrient-rich feed product in the hopes of returning to a day when they could buy corn from farmers below the cost of production. As the RFA pointed out, distillers grains are not going anywhere and their benefit in the livestock feed market cannot be dismissed.
Posted in Agriculture, Corn prices, Ethanol, Food, USDA
Food for Thought on a Friday
All Americans know it - the price of everything is up today. Many Americans recognize that the price of oil and the price of gasoline dictate the price of everything we buy. But some are seeking to mislead Americans by blaming domestic ethanol production.
Posted in Agriculture, Corn prices, Ethanol, Food, Speculators, USDA
March Ethanol Exports Set Another Record; USDA Predicts Record Corn Crop
Yesterday, USDA’s first estimate of 2011 corn supply and demand; and March ethanol export data was released. The USDA released it's first estimate of the 2011 corn crop, as well as 2011/12 demand. USDA is predicting 92.2 million acres of corn to be planted, 85.1 million harvested acres, and an average yield of 158.7 bushels per acre. This would produce a total crop of 13.5 billion bushels, an all-time record.
Posted in Agriculture, Ethanol, USDA
RFA Analysis of USDA WASDE Report
This morning, the USDA release their April WASDE report, which will likely ease some of the tension in the world corn market, as the report showed that the corn supply and carry-out are generally expected to be larger than most market participants were expecting. The following is the RFA's analysis of the report.
Posted in Agriculture, Corn prices, Ethanol, Production, USDA
Who Gets Your Food Dollar?
Food prices around the globe are rising and as a result, many are quickly searching for a scapegoat. Far too many are still recycling half-truths and misconceptions about the role of rising corn prices in food price escalation and demand for corn created by America’s ethanol industry. In a new look at the distribution of each dollar spent on food in the U.S., the U.S. Department of Agriculture has found just 11.6 cents of each dollar spent makes its way back to the farm. In other words, the raw ingredients in retail food items account for just 12 cents of every consumer dollar spent, while energy costs, labor, transportation, packaging, and other supply chain costs account for the other 88 cents.
Posted in Agriculture, Corn prices, Ethanol, Food, Speculators, USDA
$100 Oil and Congress Asks for Seconds
As turmoil and violence rattle the Middle East and Northern Africa, the fragile American and worldwide economic recovery is being put into jeopardy as oil prices continue their climb over $100. Meanwhile, the U.S. Congress is voting on provisions that would limit use of the only widely available alternative to imported oil…Ethanol.
Posted in Congress, E15, Ethanol, Energy, Fuel, Oil, Production, Renewable Fuels Standard, USDA, VEETC
What USDA WASDE Report Really Means for Ethanol, Corn
The USDA has released its February estimates of U.S. and global grain supplies. Some revisions, all of which were expected, slightly reduce USDA's estimates of leftover corn at the end of the marketing year. Let the wild claims and "alarm bells" ring from ethanol's detractors begin.
Posted in Agriculture, Ethanol, Land Use, Renewable Fuels, Renewable Fuels Standard, USDA
Egypt, Ethanol and Armchair Punditry – Part 1
As millions of Egyptians engage in a life and death struggle for the future of their country, pundits in the Western media are taking the opportunity to blame all of their favorite scapegoats for the insecurity. American ethanol production is not escaping their wrath. As has always been the case, the “facts” used by these pundits just don’t match the world reality.
Ethanol, Corn Supply, and Those Who Cry Wolf
The final USDA report on the size of the 2010 corn crop and subsequent supply is out. Not surprisingly, USDA has adjusted its final estimates to reflect increased ethanol demand, the importance of distillers grains and other feed coproducts, and the difficult growing season American farmers endured. Right on cue, prolific End of Days prognosticators like Lester Brown of the Earth Policy Institute are pointing the finger of blame at ethanol for lower than expected corn supplies. But, as is always the case, there are far more factors that must be considered.
Posted in Agriculture, Ethanol, USDA
RFA President Speaks at Cellulosic Biofuels Summit
Today I will be speaking at the Cellulosic Biofuels & Biorefineries Summit this morning in Washington, DC. I plan to talk about key issues within the cellulosic community including the U.S.Department of Agriculture's Loan Guarantee program, investment into cellulosic ethanol and indirect land use and carbon accounting. Read my full remarks by clicking the link above.
Posted in Ethanol, Environment, Fuel, Land Use, Production, Renewable Fuels Standard, USDA
Member Highlight: Secretary Vilsack Visits RFA Member First United Ethanol, LLC
Following Secretary Vilsack’s speech at the National Press Club in Washington, DC on October 21, he took a road trip down to the Southeastern region of the country to visit and tour RFA Member First United Ethanol, LLC or FUEL, located in Mitchell County, Georgia. On his October 25th meeting, Vilsack alongside U.S. Representative Sanford Bishop met with FUEL’s Board of Directors and employees to emphasize the need to stop our dependence on foreign oil.
Posted in Ethanol, Energy, Exports, Production, USDA
Secretary Vilsack Addresses Administration Biofuel Policy
Following this morning's remarks by Agriculture Secretary Tom Vilsack regarding Obama Administration biofuel policy, Renewable Fuels Association President and CEO Bob Dinneen issued the following statement: "The Obama Administration has shown strong leadership on the issue of domestic biofuels, putting forward a vision that recognizes the importance of the existing industry and the potential of new technologies. Domestic ethanol production is one of the few bright spots in a gloomy economic forecast, providing tens of thousands of jobs in hundreds of rural communities all across the country. By expanding the scope of American ethanol production to include new feedstocks from grasses to wood waste to algae, the industry can extend the benefits seen in rural America to every corner of the country".....
Posted in Ethanol, Energy, Environment, Fuel, Renewable Fuels, Renewable Fuels Standard, USDA
As Before, “Food vs Fuel” Arguments Strike Out
Last Friday’s USDA Crop Production and WASDE reports, which slashed estimates for the 2010 corn crop and average yield, sent the anti-biofuels crowd scurrying to find their trusty “Food vs. Fuel” playbooks. The alarmist rhetoric over the past several days seems virtually cut and pasted from the raft of doomsday press releases and manufactured “studies” that cluttered the media channels in 2008 when record oil prices and rampant speculation pushed grain prices to unprecedented levels and food prices to the highest levels in recent memory. For opponents of ethanol and beneficiaries of cheap corn, pointing the finger at biofuels has become the reflexive knee-jerk response any time grain prices start to rise.
Posted in Agriculture, Ethanol, Production, USDA
5 Billion Gallon Challenge Isn’t As Clean as it Seems
The growth and commercialization of next generation biofuels is essential to the long term success of America’s ethanol industry. This success does not need to come at the expense of current technologies. The RFA does not believe that U.S. biofuel policy should be crafted in a manner that jeopardizes the tremendous advances that have come from the investment our nation has made in renewable fuels or causes cannibalization in the industry. It is true that we need to support and promote the growth of next generation biofuels in order to become energy independent and to combat global warming. However, this will not be achieved by pitting different sectors of the industry against one another or abandoning support for one sector of the industry for another when the entire industry needs support as long as we continue to provide permanent tax breaks to oil producers.
Posted in Agriculture, Ethanol, Energy, Fuel, Renewable Fuels, Renewable Fuels Standard, U.S Dept. of Energy, USDA, VEETC, Water
Renwable Fuels Standard (RFS) in 2011
For the first time ever under the RFS, EPA today put out for review its estimates for RFS targets in 2011. Under the law, these are not required until November. Of note, EPA has revised down cellulosic ethanol use from original RFS targets for the second year in a row. While this may be prudent for EPA based on market conditions, it does send a chilling effect through the investment community with respect to cellulosic ethanol technologies. EPA's estimates underscore the need for Dept. of Energy and USDA to construct loan guarantee programs that work for cellulosic ethanol companies.
Posted in Ethanol, Energy, EPA, Renewable Fuels Standard, U.S Dept. of Energy, USDA
RFA Comments on USDA WASDE Report
This morning USDA’s July WASDE report was released. While it made some changes to the corn supply-demand estimates, it is likely that supply will get a boost with a larger yield estimate likely next month. This morning's report suggests corn producers are still on track for a record crop in 2010. If the corn crop can avoid significant stress during pollination, we should be looking at another record or near-record average yield. But harvest is still several months away and nothing is certain until the crop is in the bins. Read more to see key facts related to today's report.
