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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: Cogito Ergo Sum who wrote (85764)1/11/2012 3:02:51 AM
From: Snowshoe  Read Replies (2) | Respond to of 218008
 
>>Is US ethanol really pricier than Brazilian at today's USD value ?<<

Not sure, so many variables to consider...

- US now has incredibly cheap NG to produce fertilizer and process corn.

- Brazilian demand for motor fuel is growing, while US demand is declining.

- Brazilian sugar demand is strong on world markets.

- US politicians will now attack the 2022 ethanol mandate. Might take a few years, but I expect they'll whittle away at it. California HATES ethanol because it increases air pollution. If Brazilian ethanol starts taking market share in the USA, why would US politicians continue to support the mandate? Seriously?

- etc.



To: Cogito Ergo Sum who wrote (85764)1/11/2012 5:46:37 AM
From: elmatador  Read Replies (1) | Respond to of 218008
 
why did they need tariffs to block of it was cheaper? The tax credit allowed ethanol blenders to save 45 cents/gallon on each year’s tax bill, and the tariff, which added 54 cents/gallon to the price of any ethanol imported into the United States, were mainstays of the federal government’s three-legged policy that contributed to the meteoric growth of corn-based ethanol production from 2006 through 2010.
nationalhogfarmer.com