U.S. Farmers Producing Ethanol Needs for Coming Year

There's been a lot of talk lately about land use change and the impact of biofuels on global agricultural markets. Some believe the increased use of grain for biofuels like ethanol will lead to the direct and indirect conversion of non-agricultural lands here and abroad. However, those familiar with the U.S. agriculture sector's long history of productivity and efficiency have maintained that increased demand for grain can be readily met through increases in the amount of feedstock produced per unit of land, not through expansion of the area devoted to cropland.

The Renewable Fuels Association offers this comparison. In 2009-10, corn demand for ethanol will reach 4.2 billion bushels, according to USDA's November supply and demand forecasts. That's about 520 million bushels over last year's levels. Average corn yield per acre this year is up nine bushels, but the U.S. ethanol industry will only require one of those new bushels of corn per acre for the coming year. In all, yield growth alone will provide significantly more than the 520 million bushels of additional feedstock required by the ethanol industry in 2009-10.

source:ohiofarmer