USDA Official Supports Ethanol

By Pork news staff (Thursday, June 12, 2008)

Referring to the nation’s priority to reduce foreign energy dependence, Thomas Dorr, USDA Under Secretary of Rural Development says, “Unless we fully address the energy price structure that’s impacting agriculture at the same time we address the corn and protein price structure it’s an incomplete approach.” Dorr says that the current price pressure on corn is not solely the result of ethanol production, but also the world’s desire for better dietary standards and record corn exports.

“The overall increase in food prices is about 4.5 percent and, at most, 10 percent of that increase is being driven by ethanol. The component that is really driving the (corn and food price) increase is the high cost of energy,” Dorr says.

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