Feed Grain Policy - Fuel or Food?

The global dependence on fossil fuels is apparent and the changing climate is of increasing concern internationally. Both these issues have spurred many governments to look to the agricultural sector for alternative, renewable forms of energy supply; one of which is ethanol. On a volume basis, ethanol produced from corn reduces greenhouse gas emissions by 15 26% compared to conventional gasoline (US Department of Energy, 2006a). It is non-toxic, water soluble and biodegradable so it poses no threat to water supplies or water ecosystems (Renewable Fuels Association, 2005). Ethanol blends also reduce tailpipe carbon emissions along with other toxic emissions (Canadian Renewable Fuels Association, 2006a). Finally, as a new industrial use for corn and feed grains, ethanol presents the prospect of increasing corn and feed grain prices. These perceived benefits have spurred interest in ethanol as an ingredient blended in gasoline.