Posted on 02/06/2011 9:39:48 PM PST by FromLori
While subsidies may provide a short term fix, in the long run they dull the competetive edge of the recipient. Amtrak (or GM or Chrysler) are examples of companies who haven't had to face the consequences or the marketplace, have lost their edge and are now as worthless as a bucket of spit.
19 Oct 2010
US FEED MARKET REACHES SATURATION POINT The ethanol industrys trade group in the US, the Renewable Fuels Association, warned last week that as with the ethanol blend wall blocking an expansion of US ethanol production, producers are also facing a saturation of their market for distillers grain.
Part of ethanol business turnover
As distillers grains grow in importance to the financial health of ethanol producers and the quality of the product continues to improve, finding new markets is vital.
http://www.allaboutfeed.net/news/us-feed-market-reaches-dgs-saturation-point-id4891.html
Chinas Anti-Dumping Case Against Imports of US DDG
On Dec. 28, 2010, the Chinese Ministry of Commerce (MOFCOM) initiated an anti-dumping investigation into the import of U.S. origin distiller’s dried grains with or without solubes (DDG). The case was initiated by four Chinese DDG manufacturers who constitute 50 percent of the domestic industry, a requirement to petition an anti-dumping case. The basis of the case is an assertion by the Chinese DDG industry that they have lost significant sales due to a surge in sales of U.S. origin DDG sold at lower than market prices.
http://www.grains.org/component/content/article/72/2829-usgc-facilitates-industry-wide-response-to-chinas-anti-dumping-case
Thank you for those links I knew nothing about either of those situations.
They never run out of tactics to make it look good. Group of US Senators Calls on EPA to Refrain From Including Indirect Land Use Change in Biofuel Regulations
17 March 2009 The Renewable Fuel Standard (RFS-2) defined within the Energy Independence and Security Act of 2007 requires biofuels to meet specified life-cycle greenhouse gas emission reduction targets to qualify. The law specifies that life-cycle GHG emissions are to include direct emissions and significant indirect emissions such as significant emissions from land use changes, as determined by the Administrator.
Depending upon the assumptions and boundary conditions set in the ILUC evaluation, the result can dramatically increase the calculated GHG footprint of a biofuel, far offsetting the presumed greenhouse gas benefits of its use.
http://www.greencarcongress.com/2009/03/bipartisan-group-of-us-senators-calls-on-epa-to-refrain-from-including-indirect-land-use-change-in-b.html
[snip] If revised Chinese import estimates by the US Grain Council are even remotely correct, look for corn prices of $6.80 a bushel at last check to jump by at least 15% in a very short amount of time. [/snip]
Blame it on ethanol, Monsanto, and George Bush. ;’)
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