Friday, August 7, 2009

GAO Report Shows Food Prices Increased Higher than Farm Prices

GAO Government Accounting Office Higher Food Prices

A new report by the Government Accountability Office (GAO) found that supermarket prices for food have climbed by 128 percent since 1982 – four times the increase in crop prices for farmers.

The new GAO report found that since 1982, farmers have generally received higher monthly prices for their commodities, but these prices have increased less than food prices and inflation in the broader economy.

So exactly how does ethanol lead to higher food prices?

It doesn't.

As we've long said here, consumer food prices are largely driven by costs after the farm costs---labor, energy, transportations, marketing AND profits.

And a Senate committee found earlier this summer that recent higher commodity costs were driven by speculators. Again, not by ethanol policy or farmers.

But the Grocery Manufacturers Association continues to stir up hatred for the renewable fuel.

Big Food companies like Kraft Foods continue to record record high profits.

All thanks to their higher food prices and "let's blame the farmers" strategy.

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Thursday, August 6, 2009

Cash for Clunkers Raids Clean Energy Fund

Car Allowance Rebate System Cash for Clunkers

Look out, Congress is raiding the clean energy cookie jar!

"Cash for Clunkers" might sound good to many. It's helping to put new cars into driveways of Americans across the country. (Isn't that a lot like a "chicken in every pot?")

But it's disheartening to learn that Congress may fund additional billions for the program from monies meant for clean renewable energy development.

The House voted last week 316 to 109 to add an additional $2 Billion to extend the program and to take the money from the clean energy fund as part of the American Recovery and Investment Act.

There's a blog post from the House leadership to "return" the money.

But, who's going to really notice?

The senate may vote this week, and as soon as today, to pass similar legislation.

America needs to continue to make investments in renewable energy infrastructure.

Is raiding Peter to pay Paul really the best approach?


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Wednesday, August 5, 2009

Gas Prices Surge and Peak Oil is Nearer Than Feared

crude oil barrelThe cost of America's addiction to oil is rising.


In 2008, America spent $453.3 billion on imported oil.

But the cost of that addiction continues to increase.

Oil prices surged this week to over $71 a barrel.

Higher oil prices appear to be the "new" norm, despite the slow US economic recovery.

As most motorists know, this has resulted in higher gas prices over the past month at the local stations.

In just the past week the average US Regular gasoline price rose to $2.56 a gallon, according to the US Dept of Energy. This was a jump of over 5 cents in just one week.

But what if the rate of oil output reaches its maximum and can only decline?

The stark reality of "Peak Oil" may be closer than ever before.

Dr. Fatih Birol, chief economist for the International Energy Agency, told reporters in Paris this week that:
"...the public and many governments appeared to be oblivious to the fact that the oil on which modern civilisation depends is running out far faster than previously predicted and that global production is likely to peak in about 10 years – at least a decade earlier than most governments had estimated."
Dr. Birol also noted that most existing fields have reached their peak capacity and the oil existing oil "alternative" is to use the much dirtier use oil derived from tar sands.

All of this means the US needs to move aggressively in promoting renewable fuels like ethanol. Ethanol is available Now. Flexible Fuel Vehicles work Now! And ethanol is made here in the United States!

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Wednesday, July 22, 2009

Begun This Burrito War Has

Chipotle Burrito WarEven Jedi master Yoda knows when to stay quiet.


Apparently, Chipotle hasn't had that Jedi PR lesson yet.

And so the Burrito War has begun.

Chipotle restaurants recently ran a promotion for the anti-ag film, Food Inc. It's a slanted film that ignores the reality of a growing and hungry world. We'll have a full review soon on our site.

Chipotle wanted to appear all green and sustainable so they sponsored free screenings of the movie around the country.

Yeah for the giant food chain who promotes reduced food and unsustainable food production for the USA and the world. Can't we all just have a few chickens and pigs in our backyward to feed ourselves? Or better yet, just only eat vegetable we can grow ourselves?

But there's at least one group who takes issue with the company's current purchasing practices.

The Coalition for Immokalee Workers (CIW) is a community-based organization of mainly Latino, Mayan Indian and Haitian immigrants working in low-wage jobs throughout the state of Florida.

They're wondering why Chipotle is ignoring the plight of farm workers. In a recent letter to Chipotle's CEO, Steve Ellis, CIW wrote:
We view the CIW’s struggle for dignity as a non-negotiable part of the struggle for a sustainable food system. Therefore, we strongly urge you to enter into an agreement with this worker-led organization that has been fighting tirelessly to improve conditions in tomato country since 1993. As you know, the Florida Tomato Growers Exchange has acted to block the penny-per-pound raise agreed to by McDonald's, Yum Brands, Burger King and others, by threatening to fine any grower who cooperates with the buyers and the CIW. The extra penny paid out by these companies now sits in an escrow account, and workers in the fields continue making the same dismal wage. The growers clearly fear the power tomato pickers have galvanized through the efforts of the CIW and Chipotle's refusal to sign an agreement with the CIW only bolsters the growers’ intransigence.
And they've decided to crash Chipotle's PR Burrito party. Check out their online update HERE.

We guess the "Farce" is with Chipotle!

Posted by Editor at 2:29 PM 0 comments

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Tuesday, July 21, 2009

USDA Projects Record Corn Crop

USDA corn cropThe recent USDA Supply Demand report shows good news for the US corn industry.


According to the report, the corn crop is expected to be the second largest on record:
U.S. feed grain supplies for 2009/10 are projected higher this month with higher expected beginning stocks and production for corn. Corn production for 2009/10 is projected at 12.3 billion bushels, up 355 million from last month as higher estimated area from the June 30 Acreage report boosts production prospects. Corn supplies are projected at 14.1 million bushels, up 335 million bushels from 2008/09. Feed and residual use for 2009/10 is raised 50 million bushels as increased supplies and lower prices are expected to boost feeding demand. Food, seed, and industrial use is lowered 35 million bushels reflecting lower expected use for sweeteners and starch. Exports are raised 50 million bushels as lower prices increase the competitiveness of U.S. supplies in the world market. Ending stocks are projected at 1.6 million bushels, up 460 million from last month, but down 220 million from 2008/09. The 2009/10 marketing-year average farm price for corn is projected at $3.35 to $4.15 per bushel, down 55 cents on both ends of the range.
We find it amazing that us farmers succeed despite the many challenges that arise. Higher land, fertilizer, credit prices, a slowing economy and challenging weather conditions hampered the start of the corn crop. But corn growers persevered.

Many critics of American corn production threw in the towel at the first drop of rain that US farmers were going to starve the world for the sake of ethanol.

The facts speak otherwise.

Source: USDA

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Monday, July 20, 2009

Barrel Blast is a Blast

As the summer driving season kicks into high-gear, Americans will be burning oil---polluting, dirty foreign oil to be exact.


But if you're on a "staycation", log onto the new fun Barrel Blaster game provided by the American Coalition for Ethanol.

The game's simple to play: “Greentown is being overrun by marauding hordes of oil” - and it’s up to you to save the city by shooting down oil barrels when they come on-screen with your weapons - “ethanol zappers.”

You choose to play between various forms of transportation: a motor scooter, a VW bug, and a Hummer. Each has its own strengths.

So blast those barrels as you learn more about alternative fuels!


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Friday, July 10, 2009

Ethanol Flex Fuel Vehicles Go Postal

United States Postal Service FFV E85 ethanol vehicles

The U.S. Postal Service will add 1,000 E-85 ethanol-capable and 900 gasoline/electric hybrid vehicles to its delivery fleet, part of a vehicle purchase by the U.S. General Services Administration (GSA).

At nearly 220,000, the Postal Service operates and maintains the largest civilian fleet in the country. The 1,900 vehicles from GSA will bring the total number of alternate fuel-capable vehicles in the Postal Service fleet to more than 43,000.
“With our fleet traveling more than 1.2 billion miles a year, the Postal Service consistently looks for ways to reduce the environmental footprint that results from visiting every home and business in America six days a week,” said Sam Pulcrano, vice president, Sustainability. “The GSA fleet upgrade program will help us continue these strategies.”
The Postal Service has increased alternative fuel use by 41 percent since 2006, and plans to reduce petroleum use by 20 percent over the next five years. Replacing aging vehicles with more fuel-efficient and alternative fuel-capable vehicles is key to reaching that goal.
“This is a unique opportunity for the Postal Service to continue work on our goals for improved fuel economy, greenhouse gas reductions, and on our position as an environmental leader,” said Wayne Corey, manager, Vehicle Operations, who is overseeing the vehicle delivery.

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