A federal ethanol mandate has cost American farmers at least $57 billion dollars through increased corn prices, according to calculations by the National Chicken Council.
The Renewable Fuel Standard (RFS) requires refiners to blend a certain amount of ethanol into fuel and has caused corn prices to rise dramatically. Corn has cost the U.S. chicken industry $57 billion since 2005, according to calculations using U.S. Department of Agriculture data.
Chicken companies have struggled to pay these high costs. “During the RFS era, at least a dozen chicken companies have ceased operations – filing for bankruptcy, being acquired by another company, or closing their doors altogether, ” Tom Super, vice president of communications at The National Chicken Council, told The Daily Caller News Foundation.
Other industries that use large amounts of corn have also suffered, and ethanol production may have even caused food riots and shortages in developing nations.
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5 comments:
So many of us told of this outcome when the corn alcohol policy was created. The price of meat at the grocer's tells much of the story.
What do you expect. Our Government gives away billions of tons at below what the Farmer gets paid to Russia, China and Third World countries. That leaves US consumers to pay higher cost to make up the difference. Also the grain stock piles on the ground each year, a lot of this is a loss. The same with the petroleum prices that are manipulated against the US citizens.
It's an incredible waste, when 8 bushels of corn (21.6 gallons of ethanol) has enough calories to feed a person for an entire year.
Don't for get all the motorized equipment ethanol has ruined too.
Thank You DemocRATS
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