Sec. Vilsack Applauds Ethanol Producers

This morning Ag Secretary Vilsack spoke to the 2012 National Ethanol Conference. I’m sharing Cindy’s story that is also posted over on our sister site, Domestic Fuel:

Agriculture Secretary Tom Vilsack expressed his personal strong support and gratitude for the ethanol industry during an address at the National Ethanol Conference on Friday.

“We owe ethanol producers in this country a debt of gratitude because we’re paying less at the pump because of what you do,” Vilsack said, noting that prices are about $1 less than they would be without ethanol.

Vilsack also thanked ethanol producers for providing jobs, contributing to a record trade surplus in agriculture and helping to increase net farm income. “In 2011, net farm income for the first time exceeded $100 billion,” he said. “Even adjusted for inflation, this is the best farm economy we’ve seen in four decades and one of the principal reasons is because you all have figured out this new value-added opportunity called renewable fuels.”

Vilsack said he was pleased with the action taken by EPA to allow registration of E15. “If we’re worried about the Straits of Hormuz, if we’re worried about Iran, one way we can be less stressed about this is getting E15 in the tanks of cars across this country,” he said.

E15 is important to Secretary Vilsack, but so is maintaining the Renewable Fuel Standard. “Make no mistake about this. Just because it’s in the law doesn’t mean it will always be in the law.” Vilsack says the success of the ethanol industry has gotten the attention of the oil industry which is trying to modify or eliminate the RFS. “We need to make sure we maintain the Renewable Fuel Standard. It is important to the security of this country that we move toward that 36 billion gallon mark.”

Listen to or download Vilsack’s speech here: Secretary Tom Vilsack at 2012 National Ethanol Conference

Cindy also did a very quick interview with the Secretary, asking about his outlook for the ethanol industry and the importance of maintaining the RFS. Listen to or download that interview here: Secretary Tom Vilsack interview

You can watch Secretary Vilsack’s speech here:

2012 National Ethanol Conference Photo Album

State of the Ethanol Industry Broadcast

Hello from the 2012 National Ethanol Conference. At approximately 8:10am eastern time we’ll be broadcasting live the State of the Industry Address from Bob Dinneen, President/CEO or the Renewable Fuels Association. Just click on the player below to start the broadcast in your browser. We will record the address and post the recorded version afterward.

Post Update: Thanks to all who tuned in to our live broadcast. Here is the recording (started couple moments late). I’m adding the full audio for you to listen to shortly.

Listen to opening remarks from Chuck Woodside, RFA Chairman: Chuck Woodside Opening Remarks

Listen to State of Industry from Bob Dinneen with introduction by Chuck Woodside: Bob Dinneen State of Industry Address

The full text of the speech as prepared for delivery can be read here (pdf).

Check out our conference photos: 2012 National Ethanol Conference Photo Album

National Ethanol Conference Kicks Off

I’m back, back in the Gaylord again. Almost sounds like a line from an Aerosmith song. Now I’m not going to get that out of my head. But I am back in a Gaylord hotel again. This time it’s the 2012 National Ethanol Conference. Cindy will be joining me tomorrow as we provide full coverage on our Domestic Fuel website.

We’re planning to live stream opening comments from Renewable Fuels Association President/CEO, Bob Dinneen on Thursday morning. More on that to come.

Corn and Ethanol Catch up at FPS

farm progress show 2011The 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.”

Listen to or download my interview with Bob here. RFA CEO Bob Dinneen

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!”

Listen to or download my interview with Garry here. NCGA 1st VP Garry Niemeyer

2011 Farm Progress Show Photo Album


AgWired Coverage of the Farm Progress Show is sponsored by New Holland GROWMARK Trellis Growing Systems

Relaxing at Sturgis With Good Music

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.

2011 Sturgis Motorcycle Rally Photo Album

Boats Go Fast on Ethanol

Whoever says that ethanol hurts marine engines has never seen boats running at more than 80 miles an hour on E-10.

Boat racers from coast to coast gathered this past weekend in the ethanol-producing town of Garnett, Kansas for the National Boat Racing Association (NBRA) “Garnett Ethanol Hydroplane Nationals.” The Renewable Fuels Association (RFA) partnered with NBRA earlier this year to help dispel concerns about the use of ethanol fuel in boat engines. The partnership includes the use of the RFA “Fueled with Pride” logo on signage around the racing events, as well as on all the racing boats and haulers.

See more photos from the race here: NBRA Ethanol Boat Race

All of the boats that race in NBRA competitions around the country this year have to prove they are using 10 percent ethanol fuel in order to be eligible for additional prize money in the race. “We test all the fuel before the race and then the top three entries in any class are tested when they come in to make sure they are running ethanol,” said NBRA president Dan Crummett – yes, the same Dan Crummett who might be better known to the Agwired audience as Executive Editor for Farm Progress Companies.

The NBRA races include a number of different classes of hydroplanes and runabouts with stock and modified outboards that run as fast as 96 miles per hour. Crummett says most of the issues that boaters experience when using ethanol-blended fuel can be addressed with better maintenance. “Any fuel will degrade over not a long period of time once the oil is mixed in it,” he says, which is why it’s so important for boaters to avoid leaving fuel set n the tank for an extended time.

Listen to my interview with Dan Crummett here: NBRA President Dan Crummett

Each race in each class is just three laps around a relatively small course – but really, really fast! Take a look in the video below:

Green Floyd is Willin’

For your entertainment pleasure Green Floyd will now perform their ethanol version of Willin’. This was recorded at the recent National Ethanol Conference and I hope you enjoy it. Apologies to Lowell George but I think he would have loved it!

Green Floyd lyrics include:

I’ve been kicked by the press
Shunned by Wall Street
Got my margins caved in,
But I’m still on my feet
And I’m still – Willin’

We make it from corn
That started a fight
If we make it from stover
Hope that’s all right
Cause we’re still – Willin’

Cause I’ve been from Benson to
Winnebago, Madera to Omaha
Drivin’ every grain and fuel
rig that’s ever been made
Drivin’ on the backroads
so I wouldn’t get weighed

An if you bring me . . .
Heat, Yeast (and) En-zymes
(and) Feed-stock of some kind
then I’ll be Willin’
to keep Brewin’

Green Floyd Walks the Line

Here’s a little video clip from the ethanol producer group known as “Green Floyd” that played at the recent National Ethanol Conference. The Green Floyd band is made up of Frontline Bioenergy CEO Bill Lee, Neil and Tom Koehler with Pacific Ethanol and Paul Kamp with Inbicon.

This song is a parody of Johnny Cash’s “I Walk the Line” with lyrics tailored especially for corn farmers and ethanol producers. Here are some of the words:

I keep on growing, this corn of mine
I keep telling the truth about the lying
I know that ethanol is worth the fighting
Because you’re mine, I walk the line

Now many say it’s just a foil
That there’s no way to get off the oil
But a farmer can’t be stopped from trying
Because you’re mine, I walk the line

Enjoy!

Ethanol Sunset in Arizona

At the National Ethanol Conference here in Phoenix, AZ last night we were blessed with one of the famous desert sunsets.

We have been covering the 16th annual conference, which also marks the 30th anniversary of the Renewable Fuels Association, on our sister website DomesticFuel.com. This is the fifth year we have covered the conference and we enjoy it more every year!

Check out more photos from the NEC here:

2011 National Ethanol Conference Photo Album

State of the Ethanol Industry Live

Good morning from Phoenix, AZ and the National Ethanol Conference. We’re going to stream the opening remarks and state of the industry speech for you starting at 8am MST. On the stage will be Renewable Fuels Association Chairman, Chuck Woodside and President/CEO Bob Dinneen. After their remarks I’ll post the audio and recorded video for you as soon as I can.

So, feel free to send a link to this post to your friends and neighbors who are interested in ethanol for a look at what’s ahead for the industry. Just click on the player below to begin the feed.

Post Update: Here’s the recorded version of our live feed from this morning.

State of the Union Talks Trade and Biofuels

President Obama made some folks in the ag industry happy with his State of the Union (SOTU) address Tuesday talking about the importance of both biofuels and free trade agreements.

Corn farmers and representatives of the renewable fuels industry were especially pleased to hear the president say that America needs to “break our dependence on oil with biofuels.”

Obama SOTU 2011“The success of all biofuels hinges on the success of ethanol from corn – on the growth of an ethanol industry that is leading the way, sustainably increasing in economic, environmental and energy efficiency,” said National Corn Growers Association (NCGA) Chairman Darrin Ihnen of South Dakota.

Tom Buis, CEO of the ethanol organization Growth Energy, released a video statement in reaction to the SOTU. “Mr. President, thank you again for providing leadership,” said Buis. “The idea is to move this nation forward and we stand ready to work with you and Congress to help achieve these goals because we all know it’s best for America.”

The Renewable Fuels Association (RFA) was pleased to hear the president address “the sacred cow of oil subsidies” to pay for his initiatives, saying “instead of subsidizing yesterday’s energy, let’s invest in tomorrow’s.” RFA’s Matt Hartwig noted that there’s no need to wait until tomorrow. “There are great technologies available to us today. Current ethanol and biofuel production is already contributing to our nation’s prosperity by adding jobs and reducing our reliance on foreign oil.”

On the issue of trade, President Obama called on Congress to pass the recently finalized agreement with South Korea “as soon as possible,” something that 60 food and agricultural groups and companies encouraged lawmakers to do in a letter sent Monday. “We are hopeful President Obama truly makes the immediate implementation of this trade agreement a priority,” said National Cattlemen’s Beef Association President Steve Foglesong.

American Farm Bureau Federation president Bob Stallman noted trade agreements pending with Korea, Colombia and Panama would add an additional $3 billion to the U.S. economy through agricultural trade. “These trade agreements are not only important to the bottom line of America’s farmers and ranchers but the economic health of our rural communities and the overall U.S. economy,” said Stallman.

Read the full SOTU transcript here.

Obama Signs Bill Giving Death Tax Relief

President Obama held a public signing ceremony for the tax bill passed by Congress this week that delivers early Christmas presents for everyone, giving farmers and ranchers good reason to be thankful this holiday season.

Securing meaningful estate tax reform for farm and ranch families has been a top priority for the American Farm Bureau Federation. “We commend President Obama and congressional leaders for being committed to securing passage of this tax bill. It offers considerable relief that will help farmers, ranchers and rural communities in these difficult economic times,” said AFBF in a statement.

National Cattlemen’s Beef Association (NCBA) President Steve Foglesong says they are pleased to get the estate tax at 35 percent with a $5 million exemption, at least for two years. “I speak for all cattlemen and women when I express my gratitude to those members of Congress who understand the importance of keeping small businesses, including farmers and ranchers, from receiving a financially devastating death sentence on New Year’s day,” he said.

The National Corn Growers Association is grateful for both the death tax relief and extension of the Volumetric Ethanol Excise Tax Credit. “We are very happy to see the one-year extension of the ethanol blender’s credit and a two year reformed estate tax move,” said NCGA President Bart Schott of North Dakota. “These extensions were among the top priorities for our organization in 2010; failure to renew both would have done much to harm our nation’s rural economy and the future of America’s farms.”

Among those in attendance
at the signing today were some 150 members of Congress, administration officials and key stakeholder and advocates who worked to pass the bill, including representatives from the ethanol industry. Renewable Fuels Association president and CEO Bob Dinneen and Growth Energy CEO Tom Buis were both in the audience at the bill signing.

The biodiesel industry is especially pleased with passage of the new bill, which retroactively renews the biodiesel tax credit that expired at the end of 2009. “Reinstatement of this proven incentive helps provide the policy framework needed to meet the nation’s renewable goals, and the NBB sincerely appreciates the bipartisan cooperation and support that made extension of this worthwhile incentive possible,” said Joe Jobe, National Biodiesel Board CEO.

RFA Loves NAFB

RFA at NAFBThere were lots of ethanol issues to discuss at the National Association of Farm Broadcasting annual Trade Talk event in Kansas City last week. The topics included the lame duck session of Congress, importance of renewing biofuels tax incentives, doing more to invest in cellulosic ethanol, labeling for E15 at the pump, just to name a few.

Renewable Fuels Association president and CEO Bob Dinneen says NAFB Trade Talk is one of his favorite events of the year. “I think farm broadcasters are doing a lot of hard work trying to make sure that Americans understand the important debates that are going on in DC,” Bob said. “I love these folks and I love being here.”

RFA’s Matt Hartwig (sitting in the photo) and Bob stayed busy all six and a half hours of Trade Talk doing interviews. Bob is being interviewed in this picture by past NAFB president Tom Brand (KFEQ St. Joe, MO).

Listen to my interview with Bob from NAFB here: RFA at NAFB

See more photos from the NAFB annual meeting and trade talk here:
NAFB Convention Photo Album

Limited E15 Waiver Approval Fosters Mixed Emotions

The agriculture and ethanol industries responded favorably to the EPA’s decision to approve the voluntary use of E15 in cars manufactured in 2007 or later. The increase in ethanol blended into gasoline fuels could help the ethanol industry have a home for another 4-5 billion gallons per year.

Last year, Growth Energy filed the E15 Waiver and after several delays, the ethanol industry is finally able to celebrate a small victory. “Today’s approval of E15 for newer vehicles is the first crack in the blend wall in more than 30 years, and proves what was laid out in Growth Energy’s Green Jobs Waiver – that E15 is a good fuel for American motorists. And while this is an important first step, there are many more steps we can take toward strengthening our national security by reducing our dependence on foreign oil, creating jobs here in the United States and improving our environment,” Tom Buis, CEO of Growth Energy, said.

The American Farm Bureau Federation President Bob Stallman applauded the EPA as well. “Ethanol is a clean-burning, home-grown renewable fuel. Increasing the percentage of ethanol in the domestic gasoline supply moves our nation one step closer to greater energy independence. It also promotes job creation in rural America.”

Although the National Corn Growers Association (NCGA) was also happy that the EPA took a step in the right direction, they called for EPA to make a quick next step in the approval of E15 in model cars and light duty trucks from 2001-2006. The Department of Energy is still undergoing testing in these vehicles.

“We’re disappointed in the very limited scope of this approval, but pleased the EPA has finally taken action to partially approve the waiver request to allow higher blends of ethanol in some motor vehicles,” said NCGA President Bart Schott, a grower in Kulm, N.D. “We believe this bifurcation of the approval process, and the labels that are expected to be placed on higher-blend fuel pumps, can lead to general consumer confusion and therefore act counter to the original intent.”

The Renewable Fuels Association was a little more harsh than NCGA in EPA’s limited approval of E15. “EPA’s scientifically unjustified bifurcation of the U.S. car market will do little to move the needle and expand ethanol use today,” said RFA President and CEO Bob Dinneen. “Limiting E15 use to 2007 and newer vehicles only creates confusion for retailers and consumers alike. America’s ethanol producers are hitting an artificial blend wall today. The goals of Congress to reduce our addiction to oil captured in the Renewable Fuels Standard cannot be met with this decision.”

While many organizations are supportive of the move, not all are happy. The National Cattleman’s Beef Association criticized the decision or adding another ‘financial burden to all corn users’. “Corn ethanol production is significant to the cattle industry because of its impact on feed grain prices. NCBA’s members strongly oppose mandated production and increasing government intervention that artificially inflates the cost of feed ingredients. This waiver is a step closer to more government mandates.”

Connecting International Buyers With U.S. Producers

After leaving the NAMA Trends in Agriculture conference I headed on down the agriblogging highway to another conference of importance to U.S. grain producers. This is the Export Exchange 2010 which got off to an official and social start this evening with welcoming remarks from U.S. Grains Council President/CEO Tom Dorr (left) and Renewable Fuels Association President/CEO Bob Dinneen.

The conference is focused on connecting international buyers of DDGS and coarse grains with the U.S. market. I don’t know what the attendance totals are here but we had a full room for the welcoming reception. During the next couple days I’ll have interviews and presentations posted mostly on Domestic Fuel.com from the event.

You can listen to Tom’s opening remarks here: Tom Dorr Remarks

You can listen to Bob’s opening remarks here: Bob Dinneen Remarks

I’m also posting into an online photo album: Export Exchange 2010 Photo Album

Register for Export Exchange 2010 Before It’s Too Late

Export Exchange 2010 is 10 days away but it’s not too late to register. You have two days to take advantage of pre-registration for the event which will connect DDGs (dried distillers grains) and course grain buyers with domestic sellers. Export Exchange is being held in Chicago and will be the place to get answers, make contacts and build your business. Conference attendees will learn from international leaders about current opportunity and constraints surrounding the export of U.S. DDGs and course grains, both of which are growing each month.

In addition, breakout sessions will cover contracting and risk management. coarse grain production, supply and demand, DDGs shipping, handling and contracting, and the use of DDGs in livestock industries.

Export Exchange is co-sponsored by the U.S. Grains Council and the Renewable Fuels Association. The event will bring together more than 170 international buyers of U.S. DDGS and coarse grains with hundreds of U.S. producers and agribusinesses. Click here to register before it’s too late.

Interact With International Grains Buyers

usgcOne of my upcoming stops on the agriblogging highway will be the U.S. Grains Council and Renewable Fuels Assocation, Export Exchange. The event is taking place October 6-8 in Chicago, IL. If you’re in the grains business, especially dealing with DDGS then this is the place to meet with international buyers. I spoke with USGC CEO Tom Dorr about the event. He says that there will be more than 150 international buyers networking with over 300 U.S. producers and others involved in the industry. He says it’s a continuation of a series of programs that began about four years ago.

The program is designed to allow people to make connections and better understand the product. This is the first time the Grains Council has had a sponsor like the RFA. Another new thing this year is a focus on the coarse grains markets due to the global demand growth which has stimulated DDGS exports. Tom says those exports have grown from near zero in 2004 to over 6 million tons for 2009 and they’re growing.

You can listen to my interview with Tom here: Tom Dorr Interview

The Export Exchange 2010 is uniquely focused on connecting international buyers of DDGS and coarse grains with the U.S. market. The Council is providing sponsorship for the attendance of targeted international trade teams from more than 25 countries. These participants represent nearly 80 percent of the global export market for DDGS and coarse grains. The conference will address critical issues facing U.S. exports and seek to educate and build awareness of U.S. DDGS and coarse grains among international buyers.

Here are some resource links:

Agenda
Registration
Hotel
Media

Distillers Grains Export Opportunities

Distillers grains exports are climbing to new heights.

Exports of the ethanol co-product distillers dried grains with solubles (DDGS) hit a new record in July of 886,300 metric tons – which is more than was exported in the entire year in 2004. Total exports this year so far are 4.95 million metric tons, getting close to the total last year of 5.65 million.

Geoff Cooper, VP of Research with the Renewable Fuels Association (RFA), says 2005 was really the first year that DDGS exports started to take off. “2005 was the first year that we exported more than one million metric tons and the growth has been very rapid since then,” Cooper said. This year, the U.S. ethanol industry is on pace to export 8.5 million metric tons of DDGS, or about 28% of expected total DDGS production.

One third of the nation’s ethanol production ends up as DDGS, a high quality animal feed which can be used for everything from cattle to fish, and livestock producers in other countries have been quick to see the advantages of feeding the protein rich product to their animals. Cooper says the U.S. Grains Council (USGC), along with other companies and organizations, have been promoting those advantages to help exports grow.

“Education is what’s going to sell your product,” said Cooper. “And we are seeing the fruits of that work in dramatically increased exports.”

Listen to or download my interview with Geoff Cooper here: Geoff Cooper Interview

USGC and RFA are sponsoring a conference to grow the export opportunities for DDGS. The Export Exchange is being held October 6-8 at the Hyatt Regency McCormick Place Hotel in Chicago, Ill. More information and registration is available on-line here.

Ethanol is Right Here, Right Now

There are so many reasons to support American energy independence it sometimes amazes me how many special interest groups or ill informed people oppose it. Sure, we work with groups like the Renewable Fuels Association but we’d support the industry and ethanol anyway. It’s good to see that RFA will make sure lawmakers keep ethanol in mind when they get back to work.

As Congress returns to work for the final weeks before the fall elections, the Renewable Fuels Association (RFA) will greet them with a television ad on MSNBC’s Morning Joe news program. “Right Here, Right Now” is an updated ad that highlights the innovative, job-creating engine that is the American ethanol industry. This ad reminds viewers that the answer to a cleaner environment and reducing our dependence on foreign oil is available “Right Here, Right Now”.

The thirty second ad will air on Morning Joe between September 15th and October 12th in the Washington, DC media market. Nine spots per week. Morning Joe is a show viewed heavily by policy makers and influentials on Capitol Hill, in the White House, and all points in between. Morning Joe airs from 5am – 9am Eastern.

Register for Export Exchange

Registration is now open for the Export Exchange 2010, an international trade conference focused around the export of U.S. coarse grains and the ethanol co-product distillers dried grains with solubles (DDGS).

usgcThe event is co-sponsored by the Renewable Fuels Association and the U.S. Grains Council and will bring together more than 150 international buyers of U.S. DDGS and coarse grains with more than 300 U.S. producers and agribusinesses. “We are excited to have the Renewable Fuels Association co-sponsor the Export Exchange 2010,” said USGC President and CEO Thomas C. Dorr. “The burgeoning world population is demanding more meat, milk and eggs. U.S. DDGS and coarse grains continue to play an important role in livestock and poultry feed rations globally. We have to educate and connect our buyers and sellers to continue to grow vital markets for the United States.”

The conference will be held on Oct. 6-8, 2010, at the Hyatt Regency McCormick Place Hotel in Chicago, Ill. Registration information is available here.