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Bioenergy

Development of renewable energy sources is gaining momentum, spurred by rising fuel prices, environmental concerns, pressures for oil independence, and Federal energy policy. Deriving bioenergy from plant materials is among the fastest growing renewable energy technologies. For transportation fuel, corn-based ethanol is by far the largest source of bioenergy in the United States at this time, followed by biodiesel (made from vegetable oils or fats). ERS analyzes and projects the impacts of bioenergy development on commodity supply and demand, farm earnings and expenses, and retail food prices.


Spotlights

Ethanol Expansion in the United States: How Will the Agricultural Sector Adjust?—Corn is currently the primary feedstock for ethanol in the United States. The market impacts of the expansion in ethanol production extend well beyond the corn sector to supply and demand for other crops, such as soybeans and cotton, as well as to U.S. livestock industries.

Ethanol Reshapes the Corn Market—Work is underway to add billions of gallons to the annual production capacity of the fuel ethyl alcohol market. Expanded ethanol production in the United States has helped to reduce corn ending stocks and boost corn prices.

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