Infatuation to Infuriation – The story of Corn based Ethanol

The debate over the use of Corn based ethanol has taken a turn from infatuation (2 years ago) to infuriation (present). The honeymoon period is over. Rising food prices all over the world have raised all sorts of questions over taking a food crop and converting it to fuel in the name of reducing America’s dependence on foreign oil. Here are some facts, not all of them lead to a clear conclusion.

Corn - Food or Fuel by Fishfoot

Corn production in the US since 1940 has quadrupled. It is expected to double once again by 2020!

There are farmers in the US that are being paid by government agencies NOT to cultivate certain portions of land.

Iowa, the largest corn producing state in the US is just getting ready for a bumper crop of Corn this harvest season.

There is an abundance of grain, atleast in the USA, enough to cover food and fuel requirements.

The US provides Federal tax dollars of $5 Billion per year to Gasoline refiners to make ethanol from Corn

The US also slaps a $0.54 import tariff on sugar based ethanol

Ethanol production has increased 20% in the past year to 11 Billion gallons.

The increased use of Corn for making ethanol caused several US farmers to switch to raising corn from Wheat and Soybean

This has caused increases in the price of Wheat and Soybean

Overall food prices have increased worldwide, sub Saharan Africa is the worst hit by the food price increases

Over a billion people in the poorest of poor nations are going hungry, global climate change is not making things any easier

Download and listen to a Podcast featuring Jeff Broin, CEO of POET one of the leading Cellulosic Ethanol making companies for more info…http://www.renewableenergyworld.com/rea/news/article/2009/09/will-the-rough-patch-continue-for-ethanol

Here is some additional reading on the subject – http://www.chron.com/disp/story.mpl/business/energy/6626262.html

Picture Credit: Fishfoot

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