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Ethanol producers feeling pinched

Chicago Tribune -- One of the engines of the Midwest's agricultural economy has started to sputter.
Production of ethanol, the corn-based fuel additive, is slowing as manufacturers struggle with record low profit margins.
Last month, Valero Energy Corp., one of the largest U.S. ethanol producers, temporarily closed two of its 10 plants. Several other ethanol mills have been idled or curtailed production.
The pain comes on the heels of excitement in the fall when ethanol demand jumped as oil companies and distributors anticipated the expiration of a federal tax credit. The market gyrations pose new challenges to a young industry that has enjoyed, with few interruptions, extraordinary growth, thanks to a federal mandate requiring use of ethanol or other renewable fuels in gasoline.
The industry's expansion....

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Submitted Jul 09, 2012 By: 1studman

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FuelBarge Champion Author Long Island Posts:9,340 Points:2,103,240 Joined:Aug 2005	Message Posted: Jul 10, 2012 9:51:37 AM Ignore FuelBarge Report Abuse I agree. I have a hard time feeling any sympathy. We have a stupid mandate to use the stuff. We are using our food to produce the fuel and they got plenty of tax breaks. If they cannot make a go of it without government help then it is not worth pursuing.
RedRam2005 Champion Author San Antonio Posts:7,883 Points:1,524,690 Joined:Dec 2007	Message Posted: Jul 10, 2012 9:43:41 AM Ignore RedRam2005 Report Abuse It is hard (impossible) to feel sorry for the ethanol producers. Since the forced used of ethanol the mpg of vehicle has dropped.
remay Champion Author Houston Posts:7,078 Points:2,143,665 Joined:May 2006	Message Posted: Jul 10, 2012 6:41:56 AM Ignore remay Report Abuse WHO feels "pinched"? And is that any worse than feeling FORCED to use it?
SUPERSTEVIEO Champion Author Quebec Posts:3,523 Points:787,115 Joined:Oct 2010	Message Posted: Jul 10, 2012 5:27:12 AM Ignore SUPERSTEVIEO Report Abuse corn was made to eat...
NedW Champion Author Indianapolis Posts:5,750 Points:1,167,995 Joined:Mar 2008	Message Posted: Jul 10, 2012 1:33:34 AM Ignore NedW Report Abuse Ethanol is hard on the equipment that burns it, takes more energy to produce than it yields, reduces the fuel efficiency of engines in which it is used...then there's the ethical consideration of the number of people that have to go to bed hungry every night...how did this idea ever get off the ground?
Blismo Champion Author Arizona Posts:2,279 Points:431,935 Joined:Feb 2012	Message Posted: Jul 9, 2012 9:48:54 PM Ignore Blismo Report Abuse oh well
leeac Champion Author Ohio Posts:1,736 Points:461,605 Joined:Jan 2012	Message Posted: Jul 9, 2012 9:28:58 PM Ignore leeac Report Abuse Corn for fuel is dumbest idea for a long time. It must be subsidised and it causes the price of food to go up.
PDQBlues Champion Author San Diego Posts:7,214 Points:1,476,025 Joined:Jan 2009	Message Posted: Jul 9, 2012 6:24:52 PM Ignore PDQBlues Report Abuse wamster: Get corn out of our fuel, and back in the bellies of people. ... and in the bellies of the cows and pigs that eat the corn.
wamster Champion Author Houston Posts:4,417 Points:719,565 Joined:May 2007	Message Posted: Jul 9, 2012 5:17:24 PM Ignore wamster Report Abuse Get corn out of our fuel, and back in the bellies of people.
BuckyTJones Champion Author Salt Lake City Posts:4,932 Points:967,950 Joined:Mar 2010	Message Posted: Jul 9, 2012 3:59:31 PM Ignore BuckyTJones Report Abuse Any Politician with Ethanol breath needs to go in November.
BobBG All-Star Author Albany Posts:823 Points:828,845 Joined:Nov 2005	Message Posted: Jul 9, 2012 2:52:43 PM Ignore BobBG Report Abuse With the current drought this years corn crop could be the smallest in years. Corn for food should be our top priority; I don't need or want it in our fuel anyway.
dr047 Champion Author Cleveland Posts:2,731 Points:543,420 Joined:Aug 2010	Message Posted: Jul 9, 2012 2:40:07 PM Ignore dr047 Report Abuse Ethanol is corrosive No matter what it's made from. End this Scam.
tnfran Champion Author Arizona Posts:4,513 Points:868,165 Joined:Dec 2010	Message Posted: Jul 9, 2012 12:43:30 PM Ignore tnfran Report Abuse Yeah they closed plants that are producing a 'garbage fuel' that is "wasting our food sources" and helping the prices upwards. Sad for those that are losing their jobs because of it but if these co's producing this rubbish ,applied their technology to a fuel that is made from NON FOODS it would be different.
Wanda127 Champion Author Florida Posts:2,570 Points:941,325 Joined:May 2010	Message Posted: Jul 9, 2012 12:02:43 PM Ignore Wanda127 Report Abuse Well said Shaduu & MontanaMac.
Shaduu Veteran Author Twin Cities Posts:331 Points:86,720 Joined:Apr 2005	Message Posted: Jul 9, 2012 11:06:13 AM Ignore Shaduu Report Abuse ethanol was never a good idea and with the crops as bad as they are this year its about time they stopped ethanol for good.
MontanaMac Champion Author Washington Posts:1,736 Points:410,050 Joined:May 2011	Message Posted: Jul 9, 2012 11:05:04 AM Ignore MontanaMac Report Abuse End all ethanol subsidies now.
aquarinut Champion Author British Columbia Posts:1,630 Points:444,595 Joined:Jul 2011	Message Posted: Jul 9, 2012 10:52:29 AM Ignore aquarinut Report Abuse Be nice to see it go away!
fuel2use Champion Author Seattle Posts:3,615 Points:758,920 Joined:Dec 2010	Message Posted: Jul 9, 2012 10:37:14 AM Ignore fuel2use Report Abuse Good. E-0 gas.
stopforgas All-Star Author Mississippi Posts:996 Points:495,480 Joined:Jun 2011	Message Posted: Jul 9, 2012 10:20:08 AM Ignore stopforgas Report Abuse I just don't like ethanol. And believe me I tried to be open minded. I even used E-85 for a while when a local gas station started offering it. My mileage on my Tahoe went from 17 mpg to 8 mpg and the 30 cents a gallon discount obviously didn't cover the loss. Now I look for 100% gasoline every time I fill up.
puinsai808 Champion Author Honolulu Posts:3,697 Points:754,030 Joined:May 2011	Message Posted: Jul 9, 2012 9:51:12 AM Ignore puinsai808 Report Abuse Good
JoeKR Champion Author New Jersey Posts:9,604 Points:1,761,590 Joined:Feb 2006	Message Posted: Jul 9, 2012 9:50:43 AM Ignore JoeKR Report Abuse Ban food based ethanol!
OldMan322 Champion Author Illinois Posts:5,287 Points:1,622,130 Joined:Jul 2008	Message Posted: Jul 9, 2012 9:48:55 AM Ignore OldMan322 Report Abuse "dopster" YES !! and the seed corn fields are the poorest looking in 50 years
mswillia Champion Author Milwaukee Posts:2,746 Points:582,270 Joined:Feb 2010	Message Posted: Jul 9, 2012 9:46:56 AM Ignore mswillia Report Abuse if there is no profit, it should go away.
LoadToad Champion Author San Diego Posts:1,364 Points:1,298,045 Joined:Sep 2005	Message Posted: Jul 9, 2012 9:45:42 AM Ignore LoadToad Report Abuse I'm glad they haven't found a way to put it into diesel fuel.
chvytruk All-Star Author Kentucky Posts:780 Points:381,965 Joined:Sep 2006	Message Posted: Jul 9, 2012 9:44:34 AM Ignore chvytruk Report Abuse Pinch the head off ethanol, and promote domestic drilling, despite what cluless Chu and the Kenyan too, would like to have happen.
BlackGumTree Champion Author Virginia Posts:18,439 Points:1,459,665 Joined:Dec 2005	Message Posted: Jul 9, 2012 9:37:04 AM Ignore BlackGumTree Report Abuse This is what happens when fuel producers are forced to mixed in a certain additive. The fuel produces have no incentive to use anything else and the ethanol producers have no incentive to produce. We need to get the Idiots out of the federal government.
ag4ever Veteran Author Houston Posts:311 Points:106,995 Joined:Mar 2012	Message Posted: Jul 9, 2012 9:30:07 AM Ignore ag4ever Report Abuse Seems like a smart idea, take a staple food crop and convert it into fuel when we have plenty of non food crop fuel. Then let the cost of food skyrocket. Smart marketing by our government and all the EPA greenie weenies.
NO_SWEAT Champion Author Toronto Posts:4,474 Points:1,105,540 Joined:Jul 2008	Message Posted: Jul 9, 2012 9:29:45 AM Ignore NO_SWEAT Report Abuse Good - They know where they can 'Flame' it.
porotito Champion Author Houston Posts:2,239 Points:604,615 Joined:Dec 2010	Message Posted: Jul 9, 2012 9:27:19 AM Ignore porotito Report Abuse Good...
spooky255 Rookie Author Pennsylvania Posts:69 Points:730,780 Joined:Sep 2009	Message Posted: Jul 9, 2012 9:27:05 AM Ignore spooky255 Report Abuse ...
Grizzy227 Champion Author Pennsylvania Posts:1,889 Points:510,275 Joined:Nov 2010	Message Posted: Jul 9, 2012 9:26:48 AM Ignore Grizzy227 Report Abuse I am not impressed with ethanol
RetFireLT Champion Author Kentucky Posts:2,660 Points:171,385 Joined:Mar 2011	Message Posted: Jul 9, 2012 9:26:41 AM Ignore RetFireLT Report Abuse Good! We don't want ethanol anyway.
dopster Champion Author Toledo Posts:7,443 Points:2,319,950 Joined:Aug 2004	Message Posted: Jul 9, 2012 9:26:14 AM Ignore dopster Report Abuse Add to that the drought in the mid west affecting corn production!
INBwana Champion Author Indiana Posts:5,714 Points:723,685 Joined:Apr 2011	Message Posted: Jul 9, 2012 9:25:51 AM Ignore INBwana Report Abuse NO FOOD FOR FUEL!!!!
chvytruk All-Star Author Kentucky Posts:780 Points:381,965 Joined:Sep 2006	Message Posted: Jul 9, 2012 9:25:33 AM Ignore chvytruk Report Abuse TOO BAD!! Ethanol hasn't lived up to the lower prices that the hype promised. But the subsidies have enriched a bunch of big-time farm operations at the cost to taxpayers and reduced grain supplies for countries overseas needing to feed people.
ModelWarships Champion Author Missouri Posts:5,890 Points:1,251,010 Joined:Jul 2008	Message Posted: Jul 9, 2012 9:25:29 AM Ignore ModelWarships Report Abuse end the mandate, and increase your mileage now. Ethanol robs us of MPG's and forces us to import more.
Jizme Champion Author Lincoln Posts:10,020 Points:2,933,155 Joined:Oct 2004	Message Posted: Jul 9, 2012 9:24:44 AM Ignore Jizme Report Abuse For every plant that is closed there is less profit to be made.
Caribou2011 Champion Author Ohio Posts:3,887 Points:795,005 Joined:Feb 2011	Message Posted: Jul 9, 2012 9:24:23 AM Ignore Caribou2011 Report Abuse Use corn for food, not for fuel!!
olebufnav Champion Author Omaha Posts:4,127 Points:1,050,705 Joined:Nov 2008	Message Posted: Jul 9, 2012 9:24:02 AM Ignore olebufnav Report Abuse Ethanol belong in glasses with ice cubes, not in gas tanks.
twiper1 Champion Author San Diego Posts:7,951 Points:1,632,840 Joined:Oct 2008	Message Posted: Jul 9, 2012 9:23:39 AM Ignore twiper1 Report Abuse ethanol is garbage
stpatrickbday Champion Author Albuquerque Posts:1,668 Points:594,375 Joined:Mar 2011	Message Posted: Jul 9, 2012 9:23:14 AM Ignore stpatrickbday Report Abuse ok.
scrossi Champion Author Indiana Posts:4,024 Points:1,076,190 Joined:Dec 2008	Message Posted: Jul 9, 2012 9:22:48 AM Ignore scrossi Report Abuse Agreed jtfftj.
DrZNY Champion Author Albany Posts:2,679 Points:837,335 Joined:Jan 2009	Message Posted: Jul 9, 2012 9:22:47 AM Ignore DrZNY Report Abuse There should be regulation on corn prices since it is both a food source and used in making ethanol!
59glide All-Star Author New Haven Posts:872 Points:1,072,705 Joined:Apr 2006	Message Posted: Jul 9, 2012 9:22:13 AM Ignore 59glide Report Abuse STOP MAKEING IT!
jtfftj Champion Author New Hampshire Posts:2,214 Points:1,273,840 Joined:Sep 2005	Message Posted: Jul 9, 2012 9:20:42 AM Ignore jtfftj Report Abuse Greed is such a motivating force.
putz247 Champion Author Ohio Posts:2,300 Points:525,210 Joined:Aug 2011	Message Posted: Jul 9, 2012 9:19:06 AM Ignore putz247 Report Abuse interesting
run4gxc Champion Author Ohio Posts:2,755 Points:626,630 Joined:May 2011	Message Posted: Jul 9, 2012 9:17:07 AM Ignore run4gxc Report Abuse ok
jlf599 Veteran Author Kentucky Posts:339 Points:126,925 Joined:May 2012	Message Posted: Jul 9, 2012 9:16:23 AM Ignore jlf599 Report Abuse Fuels based on consumable foods just seem like a bad idea period...
Goatroper Champion Author Dallas Posts:6,690 Points:1,312,410 Joined:Apr 2004	Message Posted: Jul 9, 2012 9:04:17 AM Ignore Goatroper Report Abuse Switch to methanol.
merlinCO Champion Author Colorado Posts:1,780 Points:369,095 Joined:Mar 2012	Message Posted: Jul 9, 2012 8:50:35 AM Ignore merlinCO Report Abuse The oil companies have won the battle against ethanol. They have told us that it is bad, causes high prices and has poor performance. Can anyone tell me how much the oil companies are putting into the gas? At $2.40 a gallon, they will put up to the legal limit of 38% and make $3.50 at the pump. That is a profit of over a dollar a gallon. Learn the facts about ethanol, don't kill it.