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51 House GOP Members Urge Immediate Reduction in Required Ethanol Production

Tuesday, July 1, 2008

(American Meat Institute)

51 House Republicans sent a letter to the Environmental Protection Agency (EPA) asking for a reduction in the required ethanol production this year, saying renewable fuel standards enacted by Congress will boost already record high corn prices in the wake of Midwest floods. 

 

"The Renewable Fuel Standard (RFS) is a significant factor in the increased cost of commodities, which is causing severe economic harm for low-income Americans and livestock producers," they noted.  The letter noted that a wide range of experts from around the world, including FAPRI, IFPRI, IMF, UNFAO and the World Bank had all linked rising commodity prices worldwide to the increases in corn ethanol production.

 

The letter comes on the heels of a similar request made by the Governor of Texas and more than 23,000 producer, consumer, environment, hunger and food manufacturing groups who also asked for a repeal of the RFS.

 

The lawmakers noted that approximately one-third of the U.S. corn crop will be converted to ethanol this year to meet the demands of the RFS.  “Although supply will likely be drastically decreased from years past, the demand imposed by the RFS will dramatically increase,” the letter notes.   By acting now to repeal the RFS, the Administration “can immediately impact the supply of corn that will be used for food or feed and lessen the severe economic harm facing millions of Americans,” they said.

 

To see a copy of this letter, click here

 

For more information on the food versus fuel debate, see: http://www.balancedfoodandfuel-old.org/, or http://www.foodbeforefuel.org/

 

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