US corn cro

[ianben]

With the price of crude oil below $100 surly the
ethanol plants must be planning some sort of slow
down /closure.
I have been trying to get an idea on max value they
can pay for corn at given crude price .

Any ideas on what this is?

[greybeard]

Ethanol is still mandated at 10%. It never had to be price competitive.

[ianben]

US elections Nov.
HIgh food prices or less green fuel ?

Quite word with oil producers to reduce % and most
voters would never know.

How do they check the inclusion rate anyway?

If it is like here oil companies just pay extra tax for
below 5% inclusion.

Oil companies make max profit.
Government collects more tax.
Voters think fuel is green, no way they can tell what is
going in the tank.

Good way of being re elected and keeping
shareholders happy.

No ethanol produced in UK for over a year, one plant
mothballed, one plant completed but never opened
and one plant with permission but no funding

[charliep]

What is happening on the biodiesel front in Europe?
Important because vegetable oil is the relatively weak
part of the oilseed complex. Still mid mid 50 CBT
soybean futures but not at highs.

[ianben]

Hi Charlie
Not sure on biodiesel. I think each country
in EU has a different policy or at least priority on
green issues. Germany was/is the big bio-diesel
producer but with the euro issues I am sure
subsidising green fuel is much less attractive
anywhere in the Euro zone.

I think any government will change policy/intervene if
food prices get to high.

Hence my corn/ethanol question.

[hedgehog]

food prices are not high, farmgate price is still shitpence with high input costs.

1700 jobs in pork processing lost this week in scotland due to low pork prices caused by supermarket buying (stealing)policies

[oneoff]

The talk in a whole lot of the US corn belt is that beans will outyield the corn crop. And rains appear to finally reached a swath east of Kentucky; but much too late. My guess is that the corn crop disaster has been deliberately underrated and there is a real problem coming up. Markets maybe have started to react very strongly in the last few days.

So much for the new corn varieties being much less suscepible to drought. I always suspected that was industry bull@@@@.