Good news for corn farmers.........

[jltrent]

https://www.msn.com/en-us/money/markets ... li=BBnbfcN

President Donald Trump's plans to allow the sale of a higher concentration of ethanol in gasoline throughout the year would appease U.S. corn farmers who have been stung by low corn prices as a result of the U.S.-China trade dispute and likely even lead to lower prices at the pump.

Some refiners and older car engines, however, may pay the price.


Trump announced a directive Tuesday that would allow the year-round sale of gasoline with up to 15% ethanol, also know as E15. That would include the use of the blend even during the summer driving season. Its use in the summer months is currently banned as it can produce more smog.

"You can approve this all day long, but Americans don't necessarily want it," said Patrick DeHaan, head of petroleum analysis at fuel price tracker GasBuddy.

It would help to push corn prices higher and benefit farmers, and it may even help to lower prices for gasoline, but it would hurt refiners who don't have the ability to blend ethanol—and there are also concerns about the impact of E15 in car engines, especially those made before 2001, he said.

 

[pricefarm]

So corn prices go up making cattle feed go up. Will this make cattle prices go up to?? Or will the cattle farmer just get screwed like usual?

 

[jltrent]

So corn prices go up making cattle feed go up. Will this make cattle prices go up to?? Or will the cattle farmer just get screwed like usual?

I am glad for the corn farmers, but I may have to junk my vehicles. I would say in the short run nothing for cattle people....just have to tighten the belt another hole. Probably good for the auto industry and oil also. They can mix cheaper gas in with the E15 and probably help the bottom line.

 

[kenny thomas]

Some of the pre 2001 vehicles may be damaged by the E15 they are reporting. Heck lots of small engines are damaged by E10

 

[skyhightree1]

We have a ethanol plant here and is closed half the time not really a steady reliable place sometimes you can get ddg and sometimes you gotta wait months before you do.

 

[jltrent]

We have a ethanol plant here and is closed half the time not really a steady reliable place sometimes you can get ddg and sometimes you gotta wait months before you do.

Their output is fixen to increase 50%.

 

[jltrent]

Based on history the cow/calf operator will be hurting as it will cost to much to buy the 500 lb. calves and top them out, so their prices will go down. If you grow your own feed and in the steer business buy cheap and sell high like before as some around here that had their on feed were able to make good money when the E10 first hit. It also caused a cattle sell off as more land went into corn and caused cattle prices to go crazy for a short time from the shortage. In about 5 years for the cycle to hit expect 500 lb. calves to be $3 a pound.

 

[Stocker Steve]

So corn prices go up making cattle feed go up. Will this make cattle prices go up to?

The E10 mandate drove corn prices up before, so now grain farmers are looking to the government to increase the mandate and bail them out. All we need is E15 and a drought to go back to $7 corn.
Higher grain prices will increase the feedlot cost of gain, which increases the value of gain for grazing growing cattle, since grazing is priced against the feedlot competition.
So good news for grain farmers and grain traders is also good news for stocker operators. :nod: Not good news for cow/calf, since feedlots will not be able to pay as much for feeders.

 

[sstterry]

So corn prices go up making cattle feed go up. Will this make cattle prices go up to?

The E10 mandate drove corn prices up before, so now grain farmers are looking to the government to increase the mandate and bail them out. All we need is E15 and a drought to go back to $7 corn.
Higher grain prices will increase the feedlot cost of gain, which increases the value of gain for grazing growing cattle, since grazing is priced against the feedlot competition.
So good news for grain farmers and grain traders is also good news for stocker operators. :nod: Not good news for cow/calf, since feedlots will not be able to pay as much for feeders.

This is exactly what I thought when I heard it this morning!

 

[Ky hills]

So corn prices go up making cattle feed go up. Will this make cattle prices go up to?

The E10 mandate drove corn prices up before, so now grain farmers are looking to the government to increase the mandate and bail them out. All we need is E15 and a drought to go back to $7 corn.
Higher grain prices will increase the feedlot cost of gain, which increases the value of gain for grazing growing cattle, since grazing is priced against the feedlot competition.
So good news for grain farmers and grain traders is also good news for stocker operators. :nod: Not good news for cow/calf, since feedlots will not be able to pay as much for feeders.

I hate to sound ignorant but oh well I stay there sometimes it seems. I am not understanding what y'all are saying.
I can see where it would be a negative impact on cow/calf producers, but am not seeing how stocker outfits would be benefitted unless they can buy weaning calves cheaper and sell them higher, but then that would only be a temporary phenomenon as well wouldn't it?

 

[Texasmark]

This topic got me to thinking about years ago when the govt. paid "set-aside" to farmers to not grow products due to surpluses. I remember the days of so much corn it just sat outside in a pile....bins were full and no place to put it under cover. Seems things have changed and saved the taxpayer bucks in the process. Have I missed something?

On the ruling, apparently it won't affect the production of E10 where E 15 has not been available, like here. Since we never had it in the winter I guess we won't have it year round.

For those of you that have E15 available in the winter do you have E10 readily available year long, or at all in the winter?

On the global warming, natural cycle or man made, I guess that dog and pony show will go on forever. I see it's now a subject discussed for increased hurricanes with increased intensity, especially down here.

 

[Brute 23]

Typical non-sense... farmers crying for the govt to bail them out. Dont be fooled... you want to complain about big govt corruption agriculture is one of the largest lobbying groups in DC.

 

[callmefence]

I don't see how anyone could see making fuel from a renewable resource as a bad thing.

 

[MtnCows93]

they sell e15 and some other higher percentage ethanol already. theyd just add to that and leave the regular 10% ethanol alone. i bet thats what there gonna do cause it clearly states on the pump the e15 damages older vehicles id bet against anybody they are gonna bypass that

 

[Stocker Steve]

I don't see how anyone could see making fuel from a renewable resource as a bad thing.

The question is how much oil is used to till/plant/fertilize/harvest/dry/truck/process E corn, compared to what it yields...

Sugar cane is much more energy efficient, but it does not grow well in Iowa, and Brazilians don't get to vote in Iowa' presidential primary :nod:

 

[callmefence]

I don't see how anyone could see making fuel from a renewable resource as a bad thing.

The question is how much oil is used to till/plant/fertilize/harvest/dry/truck/process E corn, compared to what it yields...

Sugar cane is much more energy efficient, but it does not grow well in Iowa, and Brazilians don't get to vote in Iowa' presidential primary :nod:

Vs drilling and pumping it from miles below the ocean surface?? Hmmmm.


Don't have time to look it up but blackland research center at Temple reported good results using switchgrass several years back.

Sometimes common sense should override political views.... probably won't, but it should.

 

[Nesikep]

one more way to get lower MPG since ethanol needs to burn far richer than gasoline.. and it goes stale far faster.

Yeah, cow-calf producers are certainly going to get the short end of this stick.

 

[Brute 23]

I don't see how anyone could see making fuel from a renewable resource as a bad thing.

The question is how much oil is used to till/plant/fertilize/harvest/dry/truck/process E corn, compared to what it yields...

Sugar cane is much more energy efficient, but it does not grow well in Iowa, and Brazilians don't get to vote in Iowa' presidential primary :nod:

Vs drilling and pumping it from miles below the ocean surface?? Hmmmm.


Don't have time to look it up but blackland research center at Temple reported good results using switchgrass several years back.

Sometimes common sense should override political views.... probably won't, but it should.

If we were using common sense we would all be running on natural gas. Its a better fuel source all around.

 

[callmefence]

The question is how much oil is used to till/plant/fertilize/harvest/dry/truck/process E corn, compared to what it yields...

Sugar cane is much more energy efficient, but it does not grow well in Iowa, and Brazilians don't get to vote in Iowa' presidential primary :nod:

Vs drilling and pumping it from miles below the ocean surface?? Hmmmm.


Don't have time to look it up but blackland research center at Temple reported good results using switchgrass several years back.

Sometimes common sense should override political views.... probably won't, but it should.

If we were using common sense we would all be running on natural gas. Its a better fuel source all around.

I'll probably stick with diesel as long as possible.
Still a little competition is a good thing.. ;-)

 

[Brute 23]

Vs drilling and pumping it from miles below the ocean surface?? Hmmmm.


Don't have time to look it up but blackland research center at Temple reported good results using switchgrass several years back.

Sometimes common sense should override political views.... probably won't, but it should.

If we were using common sense we would all be running on natural gas. Its a better fuel source all around.

I'll probably stick with diesel as long as possible.
Still a little competition is a good thing.. ;-)

The real competitors are electric and cng or lng. Ethanol is nothing more than propaganda to pander to farmers and hippies.