The World Bank wants the US to cut its tariff on ethanol imports: That's the subject of a recent post on Simon Robinson's excellent Big Biofuels Blog, writes FW deputy editor Mike Stones. It refers to mounting pressure on the US to remove its 54 cent per gallon duty imposed on imported ethanaol. Yet US energy secretary Samuel Bodman pledged only recently to retain the duty despite international opposition. "No one in the administration is looking to end the tariff ore subsidy prematurely (certainly not before the end of 2008), " he is reported as saying. So much for free trade in the Land of the Free.
But it does reveal the scale of the commitmemt to US ethanol production and energy security. Not surprising perhaps, given Uncle Sam's foreign policy in the Middle East. And with the US's insatiable thirst for fuel, more and more maize is being diverted into producing ethanol for the car industry. Good news indeed for US farmers given that ethanol adds $4.5bn to US farm income, according to the National Corn Growers Association. Plus it's helping to support UK cereal prices, according to industry analysists.
You can read more about how US farmers are riding the rising tide of ethanol production in this week's Farmers Weekly, written after my visit stateside.
Meanwhile, for the unplugged version - read my personal account of what it was like to visit Chicago and Nebraska. Find out why a Nebraska State trooper boarded a commuter plane to serve pizza and how the tragedy of a US military death affected our visit.