By Jamie Martin
President’s biofuel policy, part of his broader climate agenda, is under scrutiny as it seemingly favors foreign over domestic agricultural inputs. This policy allows biofuels to be made from both crops and waste products, such as used cooking oil, with government incentives applying regardless of the source's origin.
As a result, there has been a significant increase in imports of used cooking oil from Asia and waste beef fat from Brazil, leading to a decrease in demand for US-grown crops. This shift is causing discontent among US farmers, who feel their interests are being sidelined in favor of cheaper foreign materials.
Gordon Denny, an agricultural consultant, criticizes the policy for aiding foreign competitors at the expense of US farmers. This sentiment is echoed across the agricultural sector, with bipartisan support from US senators urging the administration to revisit these policies.
The issue has gained enough traction to potentially influence the upcoming elections, especially in pivotal agricultural states like Michigan and Wisconsin. Farmer incomes are projected to decline sharply, the most significant drop since 2006, adding to the urgency of the matter.
Monte Shaw from the Iowa Renewable Fuels Association suggests that there is still room for policies to be adjusted to benefit US agriculture, emphasizing the need for higher blending mandates and fair regulation of tax credits.
Amidst this, farmers like Jolene Riessen from Iowa worry about the practicality of new regulations required to make their crops eligible for biofuel production, which they compare to "farming with one hand tied behind your back."
The ongoing debates and the potential for policy refinement continue to keep the agricultural community on edge about the future of US biofuel production.
Photo Credit: photo-credit-vista-mipan
Categories: National