Rumors biofuel requirements will be slashed has fired up Midwestern lawmakers and ethanol groups. Alleged leaked plans from the Biden EPA show a cut to ethanol requirements for 2020 and 2021.. Iowa Senator Chuck Grassley says if that’s true then it would be the worst proposal he’s seen.
A bipartisan group of Midwest Senators and Representatives have called for a halt to the plan, pointing to President Biden’s vow to back the Renewable Fuel Standard and end EPA waivers to oil refiners. The Iowa Renewable Fuels Association wrote a letter saying if the Biden EPA walks away from ethanol, it walks away from Iowa.
Grassley points out the campaign promises to mark a bond with farmers and commit to working against climate change. “If the Biden Administration truly cares about climate change, they’ll change these numbers and not hand a massive victory to big oil.”
Climate smart ag
The US Department of Agriculture is investing more into climate-smart ag. Nearly $75 million has been approved for 15 partner-led projects to address natural resource concerns on private lands. As part of this year’s project selections, the Natural Resource Conservation Service prioritized projects supporting smart strategies on working lands to help sequester carbon, reduce greenhouse gas emissions and mitigate the impacts of climate change. The funded projects also had plans to engage producers from underserved communities.
A look at the markets
Grains in the green halfway through the week. Analyst Dan Hueber has more:
“Well a typical Monday, Tuesday type of situation we have grains, soy markets higher on Monday and then we took part of that on Tuesday. The biggest supprise was corn it shot up to some of the highest levels we’ve seen for the better part of a month but we’re coming back climbing higher today. Not fast or furious but of course, keep in mind, two more days or a day and a half this month and this quarter and you have another month. Beans we’re sluggish on beans, just kind of coat tailing on the corn and wheat markets, but a little more stimulus here. Cattle have not been able to do anything solid that last couple weeks. Two weeks ago we had big reversal in December cattle and just have gone flat since then, cannot seem to get the momentum to go to the upside I don’t think we have significant downside pressure the market is oversold but boy we just can’t come off of dead center. In the hogs gapped higher on Monday shot higher again on Tuesday stagnating a little today, don’t know if we can push much better than we did of course this is stimulated by the hog and pig report last Friday but that really showed no expansion in the domestic industry. This takes us to the highest levels since July and looks like it wants to move higher yet.”