While I’m attending IPE Week, Cindy is at today’s Iowa Renewable Fuels Summit. Most of her coverage can be found on Domestic Fuel. Just thought I’d share this first story with you:
Today’s 6th Annual Iowa Renewable Fuels Summit kicked off in Des Moines on Tuesday on a very positive note, considering that 2011 was a record year in the state for both ethanol and biodiesel.
In his annual address to the summit, Iowa Renewable Fuels Association Executive Director Monte Shaw noted that the state’s 41 ethanol plants produced 3.7 billion gallons of ethanol. “If Iowa were a country, it would be the third largest ethanol producer in the world, behind only the rest of the United States and Brazil,” said Shaw.
He also noted that with the return of the biodiesel tax credit in 2011 helped most of Iowa’s biodiesel plants return to production. “Ten Iowa biodiesel plants operated during 2011 produced a record 169 million gallons,” said Shaw.
However, Shaw noted that the challenges facing biofuels are just as strong as ever. “I know it’s hard to believe, but not everyone in America enjoys the renewable fuels success story,” he said, outlining the attacks against ethanol in particular by the food and oil industries. “Today the oil industry enjoys billions of dollars in tax subsidies while the renewable fuels industry has none,” said Shaw, proceeding to name off all of the subsides unique to the oil industry.
Shaw outlined the priority issues for the renewable fuels industry in 2012 as getting the biodiesel tax credit reinstated, keeping the Renewable Fuel Standard in place, and getting E15 commercially available.
A significant majority believe that ethanol production is a good thing. In answer to our question, “Is Ethanol production good for ALL of Agriculture?” 64% said yes and 36% said no. That still shows a large group who aren’t on board the ethanol bandwagon. If you’re in the “no” group let us know why by posting a comment.
Our new ZimmPoll is now live. We’re asking the question, “What is your Christmas/Holiday entree?” The holidays are almost here and I’ll be you’ve got plans made already. We sure hope you have a happy holiday time with family and friends.
ZimmPoll is sponsored by Rhea+Kaiser, a full-service advertising/public relations agency.
At the recent NAMA Trends in Agriculture conference one of our panel discussions focused on “Trends In Energy/Alternative Fuels.” On the panel were Nathan Schock, POET & Matt Roberts, PhD.
What are the main influences escalating the demand for ethanol and other plant-based energy? This session examines the trends in the alternative fuel market and the initiatives needed to drive the production to meet the demand. You’ll also discover the messages and opportunities on which ag communicators and marketers need to focus.
Thanks to Paulsen Marketing for supplying this video clip with Nathan who talks about government’s role in ethanol’s future.
During the National Agri-Marketing Association’s Trends in Agriculture Conference we had a session that focused on “Trends In Energy/Alternative Fuels” which featured Nathan Schock, POET & Matt Roberts, PhD. Pictured is Matt who is an Associate Professor of Ag Economics at Ohio State University.
Matt does a lot of work in biofuels. One of his take aways from the session is that even though we’re going to see a lot of ethanol policy changes in the market soon with the end of the VEETC/Tariff, “There’s not going to actually be that large of an impact right now when that goes away.” He says long term there may be some impact. The RFS is a different animal though. He believes it needs to be re-opened on the cellulosic side but seems to be working on the corn ethanol side. Changes, however, could have a real impact on the corn side.
He says that when you look at the big picture of ethanol and the biofuels industry there aren’t simple answers. He encourages the industry to take a step back and “think about the fundamental reasons that are out there and what’s driving it and start with the questions.” He says everyone seems to start with an answer looking for a problem to solve with it instead of asking a question first and then seeking the answer to that question.
It was with great sadness that I tuned in to today’s Indy Car race and saw the 13th lap multi car wreck and learned that Dan Wheldon was killed. Wow. I’ve had the opportunity to get to know a number of these Indy Car racers over the years. You can say all you want about the wisdom of driving a “car” at 220 MPH but they are still people. This brought back memories of Paul Dana in 2006. I liked Dan and certainly took a number of photos of him in the winner’s circle. He was the winner of this year’s Indy 500.
Today’s race was cancelled after this happened. Then the drivers all rode 3 abreast for five laps to honor Dan. This is just a photo of my tv while they were circling the track.
At the time I was working with our sponsor known at that time as the Ethanol Promotion & Information Council (now Growth Energy). Dan won the first race of that season in Homestead, FL. I asked him about racing on ethanol in his post race press conference.
My prayers go out to Dan and his family. It is a shock when something like this happens. I also hope all the other drivers involved in the accident are okay.
Corn growers and cattle producers are at odds over new legislation introduced in the House that would change the Renewable Fuels Standard (RFS2).
The bill, sponsored by Reps. Bob Goodlatte (R-VA) and Jim Costa (D-CA), would allow Congress to reduce the RFS requirement for ethanol whenever corn stocks are tight.
Speaking on behalf of the National Cattlemen’s Beef Association (NCBA) during a press conference announcing the legislation, California beef cattle producer Kevin Kester said it would provide relief from tight corn supplies.
“Cattlemen are not opposed to ethanol and we’re not looking for cheap corn. We simply want the federal government to get out of the marketplace and allow the market to work,” Kester said.
Officials with the National Corn Growers Association (NCGA) say the measure would significantly weaken the RFS. “The U.S. ethanol industry is an integral part of job creation and economic opportunity throughout rural America,” said NCGA President Garry Niemeyer of Illinois. “This legislation would put progress made by the ethanol industry in jeopardy.”
The RFS came into effect in 2005 and was reauthorized and expanded in 2007 to require the use of 12.6 billion gallons of corn ethanol this year and 13.2 billion gallons in 2012, topping out at 15 billion gallons in 2015.
The Goodlatte-Costa bill would require a reduction in the RFS when the stocks-to-use ratio drops below 10 percent, up to a 50 percent reduction if the ratio falls below 5 percent. Under the current corn supply, the reduction would be 15-25 percent.
There were quite a few race cars mixed in with the tractors and combines this year at the 2011 Farm Progress Show in Decatur, Illinois.
In addition to the American Ethanol NASCAR Sprint Series car at the Growth Energy exhibit, over at the Illinois Corn Growers exhibit, the Illinois Family Farmers NASCAR Nationwide Series driver Kenny Wallace was signing autographs and doing interviews.
Kenny said he was “blown away” by the Farm Progress Show. “This is like our Daytona 500! I’ve never seen anything like it,” he said in an interview with Chuck.
Kenny visited with lots of farmers during the three day show who made him feel very happy to be the Family Farmer American Ethanol spokesperson. “Farmers make me feel good,” he said. “They say thank you so much for putting up for us and that really humbles me,” he added.
The next big races for Wallace and all of NASCAR are coming up Chicagoland on September 16-18. Speedway president Scott Paddock says that triple header NASCAR weekend is a the first race in the Chase for the NASCAR Sprint Cup – the first of ten ‘playoff’ style NASCAR Sprint Cup Series races in pursuit of the 2011 championship. “NASCAR was looking for a major media market and a big platform to kick off their playoffs and they chose Chicagoland and we’re honored to have that designation,” he said.
Scott says Illinois’ corn farmers will have a major presence at the Chicagoland event. “They’re going to have some combines and harvesters out there,” he said. “We’ll have over 100,000 fans out there that weekend so it’s a great way to get their message out about the important role farmers play in society.”
The Fast Five 225 truck series will kick off the weekend on Friday, September 16. The Dollar General 300 Nationwide series, Kenny’s race, will be Saturday, Sept. 17 and the three day weekend will conclude on Sunday, Sept. 18 with the GEICO 400 Chase for the NASCAR Sprint Cup.
NASCAR team owner and former racer Richard Childress was at the 2011 Farm Progress Show last week to talk about the partnership between the racing series and American Ethanol, but he also put in a plug for the New Holland equipment he uses in his farming operation.
“I been over to the New Holland booth,” Richard said during a press availability with Growth Energy and the National Corn Growers Association. “That’s what we run on our farm, our vineyards. They have special tractors and it really works out great.”
Richard says he has had a cattle operation since the 1980s and is growing some soybeans this year in addition to his vineyard. “I got about 100 acres of grapes at home that we make some good North Carolina wine out of,” he told me.
The agriculture connection is what made Richard want to be a part of the American Ethanol NASCAR partnership when the series started using a 15% ethanol blend this year. Richard says it has been great. “I’m a huge supporter of everything we do in America, from our farmers to our military,” he said. “This country has to quit depending on so much foreign energy and resources. We gotta do better.”
He says that NASCAR has had no problems making the transition to 15% ethanol fuel and next year they will go to fuel injection. “The fuel injection and the American Ethanol is really going to work out great,” Richard says.
The media tent is always a great place for people in the industry to catch up with each other – like Renewable Fuels Association president and CEO Bob Dinneen and National Corn Growers Association incoming president Garry Niemeyer of Auburn, Illinois.
I talked with both of them about challenges in Washington, ethanol policies, and the ability of corn growers to meet all demands even in the toughest weather years.
Bob is frustrated with the climate in Washington and the inability of Congress to get anything done, but he is always amazed by the ability of the nation’s farmers to do their job. “The fact of the matter is, the American farmer is the most productive and efficient in the world,” Bob says. “We will get through this and there will be enough supply to meet the needs for grain that exist.”
Garry says he expects his corn crop this year to be just about average and he notes that the latest USDA forecast still expects the corn crop to be the third largest in history. “Can you imagine what it would be like if we had 1980 hybrids during this type of a weather situation? We probably would be looking at a disaster,” Garry said. “That’s the importance of this show. We’re here looking at the technology in seed, machinery, guidance systems … we have the tools to do it but Mother Nature could help out a little better!”
One of our first stops coming in on pre-opening day at the Farm Progress Show was at the Illinois Corn Growers tent, where Chuck posed with his Illinois Family Farmers t-shirt and Illinois Corn Communications Director Tricia Braid while I got to interview her.
Tricia says the IL Corn exhibit really has two main themes – with race cars outside and regulatory concerns inside. “Illinois Corn Growers Association and our sister organization Illinois Corn Marketing Board, we’re both here, so we’ve got the checkoff side of things and the association – the regulations, litigation, policy,” Tricia said.
So, race cars on the outside – the checkoff side – features the Clint Bowyer American Ethanol NASCAR show car and the Nationwide Series Kenny Wallace car sponsored by Family Farmers. “By the way, that’s the actual car that he (Kenny) ran in Chicagoland,” Tricia said.
Inside the tent, it’s all about regulations and what you think is happening on your farm compared to what Washington thinks. “Couple of weeks ago we heard the president answer a question from a farmer to throttle back on the regulations and the president’s answer – to paraphrase – was ‘don’t worry about that’ – well, we’re worrying about that,” Tricia said. Farmers have a chance to find out more about proposed regulations and action to take to make their voices heard.
And, of course, there’s lots of info about ethanol and ethanol-blended fuel.
“Hog Economics in the Biofuels Era” was the topic of a presentation by Purdue University economist Dr. Chris Hurt at the Boehringer Ingelheim Vetmedica Swine Health Seminar in North Carolina.
Dr. Hurt says government policies like biofuels and even food stamps were built upon a “psychology of surplus” to increase prices. “We continue to see a psychology of surplus in our policy from Washington, when it turns out we are in a period of shortage of basic food ingredients,” he said.
Hurt says that corn for ethanol has been a demand shock for the market since 2005, but another big demand shock has been soybeans to China. “If you put it on acres of land, back in 2005 we were using about 16 million acres for those two demands,” he said. “By the time we got to the 2010 crop, that was 46 million acres – almost a tripling of the acreage.”
The hog industry has finally reduced herds enough to adjust to the higher feed prices, which has increased consumer prices for pork and that has led to stagnated growth for domestic consumption. However, Hurt says exports are increasing tremendously and now make up 20% of production, with big demand coming from Mexico and China in particular.
I thought this was a cool story to share from the Sturgis Motorcycle Rally. These bikers are huge supporters of our military men and women and it showed.
The Traveling Wall by AVTT was on display at the Sturgis Motorcycle Rally. This wall contains names of those who have lost their life in service to our country, defending our freedom. I met Charlie Weatherly and John Barron both of whom work for AVTT and travel with the exhibit. Outside of the interview with them which you can listen to below John told me that he’s been using ethanol mixed fuel in his motorcycle for years and has never had any problems with it. I had to make sure I asked since my coverage of the rally, mostly on Domestic Fuel, is sponsored by the Renewable Fuels Association.
AVTT (www.avtt.org) is a veteran-owned project that travels the USA to provide a forum for communities to HONOR-RESPECT-REMEMBER all who have sacrificed their lives for our country’s freedom. In so doing, AVTT also honors all Veterans and those currently serving, by letting them know they will never be forgotten. AVTT is funded through sponsorship fees, donations, and sale of merchandise at events. Donations to support AVTT’s mission are qualified charitable tax deductions through The Traveling Wall Foundation, a 501 (c)(3) charitable organization.
I’m betting there are a few Toby Keith fans out there in the AgWired community so I thought I’d share a photo from his performance at the Sturgis Motorcycle Rally at the Buffalo Chip Campground. After a long day of working with the Renewable Fuels Association on their sponsorship of the rally it’s really nice to kick back and enjoy some good music. I’ve got more photos online, including opening act Poison and from Monday’s bands. Tonight’s feature is Gregg Allman and I plan to be there.
His name is Rupert Boneham but everyone knows him as Rupert, winner of Survivor. Rupert is one of the folks I’ve had the pleasure to meet here at the 2011 Sturgis Motorcycle Rally. In the photo he’s being interviewed on the street before the Legends Ride. I ran into him again out here where I’m staying at the Buffalo Chip Campground.
Rupert has a charitable organization called, “Rupert’s Kids” which is “dedicated to serving an easily overlooked population of youth: those that have become too old for the youth social service system, but are not old enough for the adult social service system. We teach these youth valuable skills and trades, while also empowering them to discover their inner strengths, passions and interests.” I heard him speak about the work his organization is doing and the fact that they’ve never taken any government money. That message alone was well worth bringing to your attention. With donations lagging due to the economy he’s turned to some very creative ways to create funding that includes his own branded video games.
Rupert is from Indiana and is also a big supporter of home grown fuel like ethanol, one of the sponsors of the Sturgis Motorcycle Rally.
You might not think of the Sturgis Motorcycle Rally as an agricultural event but there’s a tie-in. That tie is the fact that one of the sponsors of the event and my coverage here and on Domestic Fuel is the Renewable Fuels Association. There is prominent visibility for “Ethanol, Fueled with Pride.”
On location here representing RFA is Robert White (right) being interviewed prior to the start of yesterday’s Legends Ride in Deadwood, SD. The ride ended here where I’m staying at the Buffalo Chip Campground. Cindy asked me to describe the rally when I spoke with her from the CTIC Tour she’s on. I said, “There is no easy way to describe this. The Chip is a temporary city that almost defies description.” I’ll try to do that somehow over the next few days.
Meanwhile, back to ethanol. Robert was interviewed on the street over the Legends event PA and I recorded him describing the importance of this renewable fuel to America. You can listen to the interview here: Robert White Interview
Robert also spoke at a press conference held prior to the start of the ride You can hear his introduction and statement here: Robert White Press Conference
Start your engines, NASCAR fans, because the National Corn Growers Association (NCGA) and Pioneer HI-Bred are offering NCGA members a chance to win a NASCAR dream day to the Irwin Tools Night Race at Bristol Motor Speedway, Bristol, Tenn., on Saturday, Aug. 27.
The dream day race package includes access to the DuPont-Pioneer hospitality tent, a pit tour, and a visit with racing legend Jeff Gordon. To enter, just visit www.ncga.com/racing and sign up for NASCAR-NCGA’s Fuel for Members Program before 12 pm central time this Friday, Aug. 5. The winner will be randomly selected from those NCGA members who have signed up for the Fuel for Members program.
Fuel for Members is one of the benefits of belonging to NCGA and state corn grower associations, providing exclusive access to discounted NASCAR tickets and merchandise and insider access to America’s most popular sport. Plus, members receive discounts on goods and services from a wide range of NASCAR partners including: UPS, DirecTV, Office Depot and MGM Resorts.
NCGA is part of the American Ethanol partnership with NASCAR, which began racing on 15% ethanol this season.
Foundation president Neil Conklin says the report is a follow up to similar studies they commissioned when prices were up in 2008 and 2009. “The purpose of the report this time is to provide both policy makers in the public sector and decision makers and stakeholders in the private sector with information to make difficult choices about food, agriculture and energy policies,” said Conklin. “This time we’ve tried to put some additional emphasis on the medium and long term implications of what’s going on.”
Listen to or download an interview with Neil about the report here: Neil Conklin Interview
Farm Foundation commissioned three Purdue agricultural economists to do the report – Phil Abbott, Chris Hurt and Wally Tyner. According to Tyner, they identified two major commodity demand shocks in 2011 – the use of corn for ethanol and Chinese soybean imports. “In 2005, we were using about 16 million acres to supply all of the ethanol in the United States and Chinese soybean imports,” he said. “In 2010, it took 46.5 million acres, an increase of 189%, just to satisfy those two demands.”
Listen to or download an interview with Wally about the report here: Wally Tyner Interview
“There was a dramatic increase in Chinese imports of soybeans between 2006 and now,” said Abbott. “China imports 86% of their use of soybeans and imported roughly 55 million tons in the last year.” He noted that 40 percent of the increase in Chinese soybean imports in recent years was for building stocks, which he estimates to be about 23% of their use right now, compared to five percent here in the United States.
Hurt says another major factor driving prices is market inelasticity, both on the demand and the supply side. “An area on the supply side that we’ve seen is land,” said Hurt. “Today there’s just not any crop land available to shift over to the high demand crops of corn and soybeans.”
During the CTIC Indian Creek Watershed Project field tour we heard a presentation from Cristina Negri, an agronomist with the Argonne National Laboratory. Cristina told us about a project they are working on in the watershed to see what types of agricultural production will work best for biofuels. They’re looking for marginal land that doesn’t lend itself to growing corn and looking at alternative crops. Efficiently using nitrogen will be important to whatever crop is found to work best for biofuels. The name of the project is “Biomass Production and Nitrogen Recovery.” You can read about it here (pdf).
To determine the opportunity, relevance and sustainability of a biomass production scenario and BMP that recover marginal land and impaired water to support productivity. This scenario by design maximizes sustainability benefits at the farm and landscape/watershed levels.
Cristina participated in the CTIC tour to learn more about the production practices being used by farmers in the watershed and says she learned a lot. You can learn more about her project from a presentation she gave our tour group during lunch: Cristina Negri Presentation
During the 2011 International Fuel Ethanol Workshop attendees got a chance to see the new documentary from Josh & Rebecca Tickell. I first met Josh during a National Biodiesel Conference before he produced his award winning film, “Fuel.” Together with Rebecca they have now produced a film that should open a lot of people’s eyes about the myths surrounding ethanol. It is called “FREEDOM.” FREEDOM is a one-hour documentary that takes a hard look at America’s perilous and unsustainable addiction to foreign oil. It explores the role that Ethanol plays as a homegrown alternative that will boost the domestic economy, create jobs and reduce our need to rely on dangerous and unstable parts of the world for our fuel. Filmmakers Josh Tickell and his wife Rebecca set out on a journey to take a fresh look at Ethanol and try to separate the myth from the hyperbole.
Following the screening which was viewed in a packed room at the FEW, I spoke with them about their latest project.
Rebecca says the devastation in the Gulf of Mexico last year spurred them to look into more alternatives to oil. So they did some checking to find out the truths about our main alternative fuel source, ethanol, and had their eyes opened when they looked into the myths surrounding the industry and the fuel. They spoke to experts on all sides of the debate including the authors of anti-ethanol studies.
They chose the title, “FREEDOM,” because event though we were promised by our current President in his election campaign that he would bring our troops home from the Middle East, we have actually increased the number of our soldiers there. Developing our own renewable fuel choices would give us freedom from that situation. They also point out the complete lack of a fuel choice at the pump and say that’s not freedom either.
The couple is embarking on a 30-city FREEDOM bus tour to promote their new film and you can see the schedule and find out more about the project on their website. You can watch and purchase the film there. They are producing a 90 minute theatrical version of the film too.
You may want to consider purchasing the film to show to your neighbors and friends or your favorite skeptic. How about sending a copy to your elected leaders? It’s great for generating conversation!
Iowa corn farmers who attended the Iowa Corn Indy 250 got an exciting race, a sold out crowd and a nationally televised platform to showcase the performance value of ethanol. Over 2,500 growers were expected to be in attendance. I didn’t speak to all of them but I did speak with several.
These are the people who are investing their hard earned dollars in educational and promotional campaigns like the one with the IRL and Iowa Speedway and it’s good to know what they think. Here’s a basically random selection of quotes from some of the farmers I spoke with at the event. : Iowa Corn Farmers Speak Out
In this week's program Chuck talks with Mike Adams, AgriTalk.
Chuck and Mike often wind up at the same events all over the country so it seemed like a good idea to do a little AgriTalking about the changes they've seen in the ag media landscape.
While I’m attending IPE Week, Cindy is at today’s Iowa Renewable Fuels Summit. Most of her coverage can be found on Domestic Fuel. Just thought I’d share this first story with you:
Speaking on behalf of the 
Officials with the 
There were quite a few race cars mixed in with the tractors and combines this year at the 
Kenny said he was “blown away” by the Farm Progress Show. “This is like our Daytona 500! I’ve never seen anything like it,” he said in an interview with Chuck. 
NASCAR team owner and former racer Richard Childress was at the 2011 Farm Progress Show last week to talk about the partnership between the racing series and 
The media tent is always a great place for people in the industry to catch up with each other – like 
One of our first stops coming in on pre-opening day at the Farm Progress Show was at the 
“Hog Economics in the Biofuels Era” was the topic of a presentation by Purdue University economist Dr. Chris Hurt at the 
The agricultural policy organization 
During the CTIC Indian Creek Watershed Project field tour we heard a presentation from Cristina Negri, an agronomist with the 
In this week's program Chuck talks with Mike Adams, AgriTalk.
