Quarter of US Grain used for biofuel

Fossil oil prices, subsidies and the success of harvests determine whether grain will be used for fuel or food.

26-01-10

The 107 million tons of grain that went to U.S. ethanol distilleries in 2009 was enough to feed 330 million people for one year at average world consumption levels. More than a quarter of the total U.S. grain crop was turned into ethanol to fuel cars last year. With 200 ethanol distilleries in the country set up to transform food into fuel, the amount of grain processed has tripled since 2004.

The United States looms large in the world food economy: it is far and away the world's leading grain exporter, exporting more than Argentina, Australia, Canada, and Russia combined. In a globalized food economy, increased demand for food to fuel American vehicles puts additional pressure on world food supplies.

Only when the supply of grain is sufficient and therefore the prices are low, producers will make biofuel of the grain. Subsidies and fossil oil prices determine whether this will actually happen.

Argentina´s biodiesel growth - 29-04-10 01:37
Europe agrees to funding for motor biofuel - 29-03-10 14:39
Bio Base Europe’s GM poplars are popular for ethanol - 18-03-10 07:12
UK biofuel suppliers fall short of sustainability targets - 27-02-10 06:46
Flaws in 'smart' green economy - 16-02-10 08:58
What's Ahead for Ethanol? - 31-01-10 11:39
Doubts over India's 'miracle' biofuel crop Jatropha - 30-01-10 11:28
What's Ahead for Ethanol, Biodiesel Industry in 2010? - 30-01-10 11:25
Murphy says open to buying 1-2 more ethanol plants - 29-01-10 09:00
Biofuel footprint 'can be small': expert - 27-01-10 13:32
Algae as biofuel still rough around the edges - 27-01-10 13:30
Ricardo and Growth Energy to Demonstrate Benefits of Extreme Ethanol Optimization - 26-01-10 13:01
Gulf Oil president says price should decide biofuel use - 26-01-10 12:50
25% US Food is Biofuel - 26-01-10 12:46
Greenergy Brazil launched to source and sell sustainable Brazilian bioethanol - 26-01-10 12:31
Category: Bioethanol, USA

<- Back to: News