Food Production

Over at <a href="http://www.mtpolitics.net/archives/2341">mtpolitics</a> there is an interesting link to a story on ethanol (http://www.nytimes.com/2006/06/25/business/25ethanol.html) in the NY Times yesterday. If you are at all interested in the politics of ethanol it is a good read. It also raises some of the concerns I have as a livestock producer in the US.<br />n<br />n<blockquote>"Unless we have huge increases in productivity, we will have a huge problem with food production," Mr. Staley said. "And the world will have to make choices."<br />n<br />nLast year corn production topped 11 billion bushels — second only to 2004's record harvest. But many analysts doubt whether the scientists and farmers can keep up with the ethanol merchants.<br />n<br />n"By the middle of 2007, there will be a food fight between the livestock industry and this biofuels or ethanol industry," Mr. Basse, the economic forecaster, said. "As the corn price reaches up above $3 a bushel, the livestock industry will be forced to raise prices or reduce their herds. At that point the U.S. consumer will start to see rising food prices or food inflation."<br />n<br />nIf that occurs, the battleground is likely to shift to some 35 million acres of land set aside under a 1985 program for conservation and to help prevent overproduction. Farmers are paid an annual subsidy averaging $48 an acre not to raise crops on the land. But the profit lure of ethanol could be great enough to push the acreage, much of it considered marginal, back into production.<br />n<br />nMr. Staley fears that could distract farmers from the traditional primary goal of agriculture, raising food for people and animals. "We have to look at the hierarchy of value for agricultural land use," he said in a May speech in Washington. "Food first, then feed" for livestock, "and last fuel."</blockquote><br />n<br />nIt has greatly worried me that all this rush to ethanol will hurt not only the livestock industry, but the food industry in general. It looks like others are beginning to see the problem too.<br />n<br />nThis rush to ethanol and it's resulting problems with food security not only for the livestock industry, but for Americans in general is one of the Agricultural related questions I asked Jon Tester, Democratic candidate for US Senate, and have received no reply on. I know Tester is a big supporter of ethanol and was really wondering what his long term plan for food security is for the nation with this ethanol rush going to eat up so much of the nations corn production. By his lack of response I guess he doesn't care.<br />n<br />nIn the long run this is a concern for the livestock industry but there is not much we can do about it. When prices for the food stuffs get so high people can't afford it then Congress might look at the situation. Not very good long term planning if you ask me.<br />n<br />n<strong>Plans are nothing; planning is everything. Dwight D. Eisenhower</strong>