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High input costs cut acres here.
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JonSCKs
Posted 6/30/2022 04:34 (#9727373 - in reply to #9727368)
Subject: Responding to “Hick” from sw Minn about feed grain production.


“Hick” said below in response to my G7 wants to limit biofuels acres..

Not trying to create a fake narrative. My original point was burning 40% of our corn does not create more animal feed like Jon claims.  

My second point is you want to sell ethanol the way to get the general public on board is using it to remove carbon from the atmosphere.”

I would direct Mr Hick to the historical planted acreages as found here..

https://www.agmanager.info/grain-marketing/grain-supply-and-demand-wasde/us-corn-planted-acres

Corn acres have increased at least 10 million acres (edit add.. more like 15.. say an average of 75 myn corn acres pre ethanol..) since the ethanol boom.. while wheat acres.. are down 20 million here in the US.

60% (100 - 40%) x 10 million acres of additional corn is more than 60% of 0 acres.  Without the added income from ethanol demand.. corn acres would dive.  Interesting how it would all shake out but we would transition back to a low input.. low yield.. lower cost program than what we are.. or were.. doing today.

High inputs (including interests) will limit acres going forward. 

For the record our local ethanol plant has switched back to sorghum as China didn’t ship as much as expected.  A couple of the southern plains ethanol plants can go back and forth.. and for the most part.. this has now occurred.

I fail to see how limiting demand.. yields more production.. as most producers can figure costs and returns.

returns dive.. so will production. 



Edited by JonSCKs 6/30/2022 06:21




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