Illinois Corn Asks: Ready for $4 Gas?
Posted: April 3, 2008
Fuel prices up 40 percent in the last four months. Profits in the oil industry under attack on Capital Hill. Seeming lack of awarness by the oil industry of the impact of energy costs on food prices. Failure to recognize that when oil prices rise so does the cost of just about everything else. The list goes on and on. And Illinois Corn Growers Association has responded with a provacative piece on its web site.
It’s worth re-noting some of the benefits of biofuels:
Merrill Lynch noted oil and gasoline prices would be about 15% higher if biofuel producers weren’t increasing their output.
Here’s a question worth mulling over: What impact an extra 15 percent increase in gasoline prices would have on food prices?
Get enlightened on the oil industry perspective on ethanol and food prices with this video of Rep. Herseth Sandlin questioning oil execs.