Home Energy Facts Don’t Support Blame on Ethanol for Increased Food, Gas Prices

Facts Don’t Support Blame on Ethanol for Increased Food, Gas Prices

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food vs fuelTime and again – Growth Energy CEO Tom Buis says Big Oil, Big Food and special interests have attacked the ethanol industry – blaming it for increasing food prices. But looking at the facts – Buis says nothing could be further from the truth. There has been a recent surge in ethanol production – while Buis says corn prices have been falling – now trading at 3-99 – half the cost of what it traded for two-years ago. However – he says food prices continue to rise because the cost of oil continues to climb – according to a recent World Bank Study outlining how crude oil prices are responsible for 50-percent of the increase in food prices in the past decade. American consumers just experienced a six-year high in gas prices over the Fourth of July holiday weekend – Buis says – and prices continue to hover at record prices while ethanol is trading roughly a dollar per gallon below the cost of wholesale gasoline. Because of Big Oil’s monopoly over the fuels market – he says consumers have to pay more to drive to the store and the hits keep on coming when they check out at the grocery store. He says Big Oil and Big Food continue to propagate the same old myths about food and renewable fuels – yet they are not as forthcoming when it comes to explaining to the public why they are making record profits on the backs of American consumers. As President John Adams once said – Buis says facts are stubborn things – and this is clearly the case for Big Oil and Big Food.