Page 27 - KMA Ag Mag 2020

KMAland 2020 Overcoming Current Challenges in the Ag Community 27

Policy SEEDS OF CHANGE Planted in 2019

Should BARE RESULTS in 2020 and Beyond

the economic challenges farm- year was, I believe the seeds
ers and biofuels producers have of that change may just have
faced the last few years. been planted in 2019, including
There is no denying that those seeds necessary to make
2019 was a tough year for farm- it even easier for fuel retailers to
ers and biofuels producers alike. start offering ethanol and bio-

Ag commodity prices remained diesel blends.
unfavorable as biofuels demand
was eroded by Renewable Fuel As I consider 2019 from a
Standard (RFS) refinery exemp- policy perspective, there were
tions at home and the trade many more significant victories
war with China abroad. Bio- than defeats. While admittedly
By Monte Shaw fuels producers struggled with not a quick fix to our current
Executive Director a second year of near or below economic challenges, I enter
Iowa Renewable Fuels Association break-even prices. We saw eth- 2020 with the feeling that fu-
A Arguably the most impor-
anol and biodiesel plants shut ture economic gains will be one
As a Shenandoah native, down in numbers not seen since day traced back to 2019.
it’s always a pleasure to return the 2008 commodity bubble.
home, whether to see family
In fact, here in Iowa, both tant victory of the year came
and friends or for work with the ethanol and biodiesel produc- on May 31st when President
Green Plains ethanol plant. But tion dropped in 2019 compared Trump kept one of his cam-
I must admit to one frustration to the year before. For as far paign promises to rural Amer-
when returning home – the in- back as we have state level data ica by removing restrictions to
ability to fuel up with E85 or into the 1980’s, that was the year-round Unleaded 88 sales –
even Unleaded 88, which con- first year-on-year reduction for ending a decade long struggle.
tains 15 percent ethanol. Iowa ethanol production ever. In its aftermath we’ve seen
Regardless of whether I’m in Farm debt levels have risen large c-store chains like Casey’s
my personal pick-up or driv- precipitously. Ag loan defaults General Stores move aggres-
ing my work Tahoe with all the and loan renewal rejections are sively to offer Unleaded 88.
Iowa Renewable Fuels Associa- on the rise. We are seeing more Recently Iowa Secretary of Ag-
tion stickers on it, I always seek and more signs of increased riculture Mike Naig awarded
to save money, boost ag de- stress among farmers, and even Elliott Oil Company with the
mand, and clean the air by fu- evidence of increases in farmer 2020 Renewable Fuels Market-
eling with the highest blend of suicide. As a kid who came of ing Award for being the first
home-grown ethanol available. age during the 1980’s farm cri- major oil company branded sta-
But thanks to some policy sis, this hits home. We need tion in Iowa to offer Unleaded
victories in 2019, maybe that something to change. 88.
can soon change along with Despite how difficult the past Unleaded 88 burns cleaner, is