An economist with the U.S. Department of Agriculture says ethanol plants are becoming more efficient. Last month, the agency increased its forecast of corn needed for ethanol by 50-million bushels, but a more recent forecast reduced it by 50-million. The USDA’s Acting Chief Economist, Rob Johansson, says this is a case of less means more. “We’re finding…we’re using less corn to make a gallon of ethanol. So, our ethanol refining is becoming more efficient,” Johansson says.
Iowa leads the nation in ethanol production, creating nearly 30-percent of all ethanol. Across the country, ethanol plants are expected to use 5.2 billion bushels of corn this year. That is 1% less than previous forecasts but nearly one-and-a-half percent more than in 2014. Iowa’s 43 ethanol plants produced 3.9 billion gallons of the fuel in 2014, a new production record, according to the Iowa Renewable Fuels Association.
(Radio Iowa)