May 19, 2009

What's really happening with ag, ethanol in Brazil and Argentina?

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The headline of this post is the subject of the Nebraska Corn Board's latest quarterly newsletter, CornsTALK.

To get a good sense of what this issue is about, here's the introduction.

South America has a significant influence on American and global agriculture -- and it’s getting even stronger. Several nations are major players in agricultural production, driving commodity markets -- and Brazil is a pioneer in the area of biofuels.

Development of agricultural land in Brazil, especially as it relates to rainforest territory, is part of the debate in the U.S. regarding policies impacting our domestic ethanol industry. The tariff on imported ethanol -- and the ability of the world’s farmers to meet demand for food and fuel -- continue to be important issues.

In January 2009, four representatives of Nebraska’s corn industry joined growers and staff from Iowa and Illinois on an Agri-Energy and Food Study Mission to Brazil and Argentina.

The group went with five key objectives in mind:
  • Gather in-country information regarding land use change in an attempt to better understand the extent and dynamics of deforestation;
  • Discover more about biofuels production, infrastructure, usage and policy;
  • Assess the production potential in the two countries in terms of addressing the food and fuel debate—as well as to gauge the competitiveness of South America;
  • Learn how these nations position agriculture as a strategic national asset;
  • Establish relationships and partnerships that may be beneficial to agriculture and the biofuels industry on both continents.
In this edition of CornsTALK, we summarize the group’s findings -- and consider how they might impact checkoff investment, national policy and the future of corn farmers in Nebraska, the nation and the world.

You can download a copy of the spring 2009 newsletter here, but for even more information on the mission, read the detailed blog.

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