Schafer Explains Bush Comments
Posted: March 6, 2008
Comments by President Bush this week that corn prices are affecting food prices required some explanation after the fact by Secretary of Agriculture Ed Schafer.
During a speech this week at the Washington International Renewable Energy Conference 2008, Bush said, “Corn ethanol holds a lot of promise, but there’s a lot of challenges. If you’re a hog-raiser in the United States, you’re beginning to worry about the cost of corn to feed your animals. I’m beginning to hear complaints from our cattlemen about the high price of corn. The high price of corn is beginning to affect the price of food.”
Talking to Brownfield Network reporter Peter Shinn afterward, Schafer said there is no inconsistency between the President’s remarks about the impact of corn demand from the ethanol industry on food prices and the long-held USDA position that higher energy prices play a greater role in food price inflation.
“Well, I think the President stated an obvious fact that everybody knows today that food prices are being challenged by fuel prices,” Schafer said. “But really, this is a consistent administrative policy and direction, and I was pleased the President pointed out the fact that, though corn prices are under pressure right now, the pathway is to cellulosic ethanol.”
Schafer addressed WIREC on Tuesday and hosted a ministerial luncheon at the event Wednesday. WIREC 2008 featured representatives from over 100 countries with attendance estimated at seven to eight thousand. The event wrapped up Thursday.