Convert cars to run on E85

[Chickenhauler]

Bullshit its not!!! I'm not saying those other factors aren't having an effect on the corn prices but Ethanol is the biggest reason the feed cost for farm animals has sky rocketed. The price of corn has gone through the roof and when that happens it makes all the commodities go up.

Just a few years ago, corn was under $2/bushel, and diesel was under $2 also.

Today, corn's running $6/bushel, and diesel's pushing (in some places topping) $5.

Corn has a very minute effect on fuel prices (only a very small percentage of our corn supply goes into ethanol production), but fuel prices directly (and very much so) affect grain prices. It takes alot of fuel to bring a crop to market.

While some may believe that $2 corn is reasonable, with the rise in grain price, the farmer can actually survive without a subsidy.

Some think farmers are getting rich, but now they're just not struggling to break even-land prices over $5k per acre, fertilizer @$1k per ton, $5/gal fuel, and you still have to buy some equipment, all to produce 100 bushel/acre.

I can't begrudge a farmer getting $6/bushel with the outlay and risk he deals with.

[pfunk]

thats why they squeek when they walk

[scot_douglas]

Interesting article on GM and Ethanol.

Gm has partnered with Coskata to try to produce ethanol from waste and other cellulosics besides corn. No idea if it will work, but it is a very interesting subject.

[Farmr123]

The corn used in making Ethanol is used in many of are food products. ?

Bullshit its not!!! I'm not saying those other factors aren't having an effect on the corn prices but Ethanol is the biggest reason the feed cost for farm animals has sky rocketed. The price of corn has gone through the roof and when that happens it makes all the commodities go up.

I also have to disagree on this one. The cost of raising a bushel of corn is now over $4. If the price that farmers (me included) could get for our corn was around $2 to $2.50 like it was 2 years ago, you would see a shortage of corn like you wouldn't belive. The price may be high right now, but that is what is more or less guaranteeing the supply.

Just for the record, I am a farmer, I raise corn (same acres I always had), and cattle, and until about 2 months ago, hogs as well. I can honestly say that the biggest problem in the livestock industry right now is the fuel costs. You can feed ethanol by-products to cattle, which is fairly cheap feed (and helps keep the ethanol plants profitable) which stretches the available corn.

I used to raise food-grade corn, but like CH said, it wasn't worth it. By the time you jumped through all the hoops, and expense of getting the bin of corn certified, you still had the risk of the end user backing out of the deal, leaving you to sell the food-grade corn (with lower yields) at field corn prices.

Also, if there is such a shortage of food, why have wheat prices dropped by HALF in the last couple months???? You would think the starving multitudes would keep the prices high.

[Chickenhauler]

and until about 2 months ago, hogs as well.

Got sick of getting robbed at the sale barn?

Hogs here are damn near free.....and cost less at slaughter than the feed to raise them it seems.