Harvest is coming to a close with near record yields in much of the country. With this there have been questions about where all the corn is going. This is because of the low river levels and poor export market. This has led to the ethanol industry taking on the challenge of finding a place for the grain.
Erik Huschitt, the CEO of Badger State Ethanol says, “Our numbers are surprisingly stout and strong as far as the amount of corn we are using in ethanol production right now. The ethanol industry is in a state of flux right now because so much of what we do is based on transportation fuel and policy. With the election there is lots of uncertainty for the future of the industry.”
According to Huschitt, he feels the large harvest has not affected the gas prices yet. Although he feels the ethanol production has led to lower prices. As the industry continues to pump out big numbers he thinks the big harvest will impact the fuel market. As California looks to allow more ethanol to be used, he feels this would have a great impact on the market if it passes. This may take time though as California takes a lot of time to implement these kinds of policies.
“As far as ethanol specifically with the byproducts, we make a very affordable and high-quality feed,” explains Huschitt. “This product has made its way to the world market, so we are going to continue that. The only thing that could change it would be supply and demand issues.”
Huschitt says that ethanol is an important part of the agriculture industry. Using the higher ethanol blends at the pump will help the agriculture economy as a whole. If there is a higher demand for ethanol at the pump it will help drive up the prices for production agriculture. This in turn will help the economy as a whole.
Huschitt tells the full story of the increase of ethanol production with The Mid-West Farm Report:
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