26 Jul '12, 6pm

Study: RFS waiver wouldn't significantly lower corn prices Read the RFA release here.

(July 26, 2012) Washington – New analysis from the Center for Agriculture and Rural Development (CARD) at Iowa State University suggests that calls for the immediate reduction, revision, or repeal of the Renewable Fuel Standard (RFS) would not achieve the stated goals of those industries calling for such action. “The desire by livestock groups to see additional flexibility in ethanol mandates may not result in as large a drop in feed costs as hoped,” wrote Iowa State Professor Bruce Babcock, author of the study. Babcock analyzed 500 different scenarios assuming varying levels of corn yield this year. In his research, Babcock determined that a total waiver of the RFS would reduce corn prices less than 5% and cause less than a 5% reduction in ethanol production. Babcock states the modest results are due to flexibilities in complying with the RFS in 2012 and 2013. Specificall...

Full article: http://www.ethanolrfa.org/news/entry/waiving-rfs-isnt-sol...

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