U.S. ethanol production is being cut in half

Posted on April 28, 2020
In the cornfields of Illinois – they are suffering the effects of the pandemic. (Photo courtesy: WJBC/File)

By Dave Dahl

SPRINGFIELD – In the cornfields of Illinois, they are suffering the effects of the pandemic. And ethanol faces a double whammy. 

In addition to drastically lower demand, “gasoline prices have dropped due to the relationships with Saudi Arabia and Russia regarding the price of crude oil,” said Dave Loos, director of research and business development for the Illinois Corn Growers Association. “So right now, for the first time in five or six years, ethanol prices are higher than gasoline.”

Loos says it would help if fuel carried fifteen percent ethanol instead of the current ten. Also, he says, about two-thirds of the 210 ethanol plants in the U.S. have closed or significantly cut back. Production nationally is about half what is considered normal.

Dave Dahl can be reached at [email protected]. 

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