WASHINGTON, D.C. – Today’s World Agricultural Supply and Demand Estimates (WASDE) report shows that we have sufficient amounts of corn available to meet demands, but China’s newfound demand for corn is fueling speculative jumps in prices, according to a statement released by Growth Energy, the country’s leading voice for renewable ethanol.
“As we have said repeatedly, production worldwide is increasing to more than meet the demand. The major reasons for corn price increases have been excessive speculation by non-commercial interests in the commodity markets and increased demand by China to re-stock their own reserves.
“In addition, China has erected barriers to other American industries that have cost U.S. jobs – the U.S. Trade Representative estimates that China’s trade barrier to chicken imports has cost the American poultry business more than $1 billion in market share. When China buys U.S. corn but refuses to buy finished products, that directly impacts job creation.
“It is time to quit singling out ethanol and take a hard look at the numerous factors that influence the price of commodities.”
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About Growth Energy
Growth Energy represents the producers and supporters of ethanol who feed the world and fuel America in ways that achieve energy independence, improve economic well-being and create a healthier environment for all Americans now.