FAPRI report examines impacts of ethanol policy changes

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Researchers at the University of Missouri's Food and Agricultural Policy Research Institute recently published a report, titled "Impacts of Selected U.S. Ethanol Policy Options," that examines what would happen if changes were made to federal ethanol-related policies. Policies considered in the report include usage mandates established by the renewable fuel standard, the volumetric ethanol excise tax credit, and the ethanol import tariff. Among other findings, the report found that if all three supports were to be eliminated, the domestic ethanol fuel industry would collapse, imports would increase and—due to decreased demand for corn—farmers would suffer lost revenue. The report was published in response to a request from several Congressional members.