Biofuels and the Competition for Grain

"THE EMERGING COMPETITION BETWEEN THE OWNERS OF THE WORLD'S 910 MILLION AUTOMOBILES AND THE 2 BILLION POOREST PEOPLE IS TAKING THE WORLD INTO UNCHARTED TERRITORY. SUDDENLY THE WORLD IS FACING AN EPIC MORAL AND POLITICAL ISSUE: SHOULD GRAIN BE USED TO FUEL CARS OR FEED PEOPLE? THE AVERAGE INCOME OF THE WORLD'S AUTOMOBILE OWNERS IS ROUGHLY $30,000 A YEAR; THE 2 BILLION POOREST PEOPLE EARN ON AVERAGE LESS THAN $3,000 A YEAR. THE MARKET SAYS, LET'S FUEL THE CARS (LESTER R. BROWN) BIOFUEL: PEOPLE AND CARS COMPETING FOR GRAIN 1/4 OF ALL MAIZE AND CORN CROPS GROWN IN THE US IS NOW USED TO PRODUCE FUEL FOR CARS 2000 2009 1/4 OF ALL US GRAIN CROPS WAS USED TO PRODUCE BIOFUEL IN 2009 20 MILLION 107 MILLION TONNES TONNES IN 2000 ONLY 4.8% OF US GRAIN WAS USED FOR ETHANOL FUEL US GRAIN PRODUCTION HAS INCREASED SUBSTANTIALLY SINCE 2000, DUE TO INCREASED BIOFUEL PRODUCTION THE US PRODUCED 9 BILLION GALLONS 52% 1.7 BILLION GALLONS 2008 OF THE WORLD'S TOTAL ETHANOL 2001 IN 2008 US ETHANOL PRODUCTION HAS INCREASED MORE THAN 5-FOLD SINCE 2001 THE US PRODUCES OVER 50% OF THE WORLD'S TOTAL ETHANOL MILLION TONNES OF US GRAIN 120 USED TO MAKE ETHANOL FOR MILLION PEOPLE THE GRAIN COULD FEED 350 CARS 100 300 250 80 107 MILLION TONNES OF GRAIN WAS USED TO PRODUCE 200 ETHANOL IN THE US IN 2009, THIS WOULD HAVE BEEN ENOUGH 60 TO FEED 330 MILLION PEOPLE FORA YEAR 150 40 100 20 50 OVER 80 ETHANOL PLANTS HAVE BEEN BUILT SINCE 2007 THIS CAME AFTER BUSH CHALLENGED FARMERS TO INCREASE PRODUCTION BY 500% BY 2017, IN ORDER TO SAVE CARBON 1980 1985 1990 1995 2000 2005 2010 EMISSIONS AND TO REDUCE THE RELIANCE ON OIL IMPORTS $$ $$$$$$$$$ PRE 2006 2$ AFTER 2006 PRICES FOR WHEAT, RICE, CORN AND SOYBEANS TRIPLED BETWEEN 2006 AND 2008 AS DEMAND FOR GRAINS TO BE USED FOR FUEL THE PRICE OF GRAIN IS NOW INTRINSICALLY LINKED TO THE PRICE OF OIL INCREASED WHEN THE PRICE OF OIL STARTS TO CLIMB, THE WORLD PRICE OF GRAIN MOVES UP TO ITS OIL-EQUIVALENT VALUE. THIS HAS HAD DEVASTATING EFFECTS ON THE MILLIONS OF PEOPLEWHOWERE ALREADY STRUGGLING TO PAY FOR FOOD. 1 BILLION THE NUMBER OF UNDERNOURISHED PEOPLE IN THE GRAIN REQUIRED TO FILL AN SUV'S 25-GALLON TANK WITH ETHANOL ONCE, COULD FEED OVER 300 THE WORLD IN 2009. THE NUMBER OF HUNGRY PEOPLE SHARPLY INCREASED AFTER FOOD PRICES PEOPLE A DAY SPIKED IN 2006 - 2008, IT IS NOW AT A RECORD-HIGH, IF THE ENTIRE US GRAIN HARVEST WERE TO BE CONVERTED TO ETHANOL, IT WOULD ONLY SATISFY AT MOST 18% OF THE US'S AUTOMOTIVE FUEL NEEDS Source: Earth Policy Institute and The Guardian "THE EMERGING COMPETITION BETWEEN THE OWNERS OF THE WORLD'S 910 MILLION AUTOMOBILES AND THE 2 BILLION POOREST PEOPLE IS TAKING THE WORLD INTO UNCHARTED TERRITORY. SUDDENLY THE WORLD IS FACING AN EPIC MORAL AND POLITICAL ISSUE: SHOULD GRAIN BE USED TO FUEL CARS OR FEED PEOPLE?THE AVERAGE INCOME OF THE WORLD'S AUTOMOBILE OWNERS IS ROUGHLY $30,000 A YEAR; THE 2 BILLION POOREST PEOPLE EARN ON AVERAGE LESS THAN $3,000 A YEAR. THE MARKET SAYS, LET'S FUEL THE CARS (LESTER R. BROWN) BIOFUEL: PEOPLE AND CARS COMPETING FOR GRAIN 1/4 OF ALL MAIZE AND CORN CROPS GROWN IN THE US IS NOW USED TO PRODUCE FUEL FOR CARS 2000 2009 1/4 OF ALL US GRAIN CROPS WAS USED TO PRODUCE BIOFUEL IN 2009 20 MILLION 107 MILLION TONNES TONNES IN 2000 ONLY 4.8% OF US GRAIN WAS USED FOR ETHANOL FUEL US GRAIN PRODUCTION HAS INCREASED SUBSTANTIALLY SINCE 2000, DUE TO INCREASED BIOFUEL PRODUCTION THE US PRODUCED 9 BILLION GALLONS 52% 1.7 BILLION GALLONS 2008 2001 OF THE WORLD'S TOTAL ETHANOL IN 2008 US ETHANOL PRODUCTION HAS INCREASED MORE THAN 5-FOLD SINCE 2001 THE US PRODUCES OVER 50% OF THE WORLD'S TOTAL ETHANOL MILLION TONNES OF US GRAIN 120 USED TO MAKE ETHANOL FOR MILLION PEOPLE THE GRAIN COULD FEED 350 CARS 100 300 250 80 107 MILLION TONNES OF GRAIN WAS USED TO PRODUCE 200 60 ETHANOL IN THE US IN 2009, THIS WOULD HAVE BEEN ENOUGH TO FEED 330 MILLION PEOPLE FORA YEAR 150 40 100 20 50 OVER 80 ETHANOL PLANTS HAVE BEEN BUILT SINCE 2007 THIS CAME AFTER BUSH CHALLENGED FARMERS TO INCREASE PRODUCTION BY 500% BY 2017, IN ORDER TO SAVE CARBON EMISSIONS AND TO REDUCE THE RELIANCE ON OIL IMPORTS 1980 1985 1990 1995 2000 2005 2010 $$ $$$$$$$$$ PRE 2006 AFTER 2006 PRICES FOR WHEAT, RICE, CORN AND SOYBEANS TRIPLED BETWEEN 2006 AND 2008 AS DEMAND FOR GRAINS TO BE USED FOR FUEL THE PRICE OF GRAIN IS NOW INTRINSICALLY LINKED TO THE PRICE OF OIL INCREASED WHEN THE PRICE OF OIL STARTS TO CLIMB, THE WORLD PRICE OF GRAIN MOVES UP TO ITS OIL-EQUIVALENT VALUE. THIS HAS HAD DEVASTATING EFFECTS ON THE MILLIONS OF PEOPLEWHOWERE ALREADY STRUGGLING TO PAY FOR FOOD. 1 BILLION THE NUMBER OF UNDERNOURISHED PEOPLE IN THE GRAIN REQUIRED TO FILL AN SUV'S 25-GALLON TANK WITH ETHANOL ONCE, COULD FEED OVER 300 THE WORLD IN 2009. THE NUMBER OF HUNGRY PEOPLE SHARPLY INCREASED AFTER FOOD PRICES PEOPLE A DAY SPIKED IN 2006 - 2008. IT IS NOW AT A RECORD-HIGH, IF THE ENTIRE US GRAIN HARVEST WERE TO BE CONVERTED TO ETHANOL, IT WOULD ONLY SATISFY AT MOST 18% OF THE US'S AUTOMOTIVE FUEL NEEDS Source: Earth Policy Institute and The Guardian "THE EMERGING COMPETITION BETWEEN THE OWNERS OF THE WORLD'S 910 MILLION AUTOMOBILES AND THE 2 BILLION POOREST PEOPLE IS TAKING THE WORLD INTO UNCHARTED TERRITORY. SUDDENLY THE WORLD IS FACING AN EPIC MORAL AND POLITICAL ISSUE: SHOULD GRAIN BE USED TO FUEL CARS OR FEED PEOPLE?THE AVERAGE INCOME OF THE WORLD'S AUTOMOBILE OWNERS IS ROUGHLY $30,000 A YEAR; THE 2 BILLION POOREST PEOPLE EARN ON AVERAGE LESS THAN $3,000 A YEAR. THE MARKET SAYS, LET'S FUEL THE CARS (LESTER R. BROWN) BIOFUEL: PEOPLE AND CARS COMPETING FOR GRAIN 1/4 OF ALL MAIZE AND CORN CROPS GROWN IN THE US IS NOW USED TO PRODUCE FUEL FOR CARS 2000 2009 1/4 OF ALL US GRAIN CROPS WAS USED TO PRODUCE BIOFUEL IN 2009 20 MILLION 107 MILLION TONNES TONNES IN 2000 ONLY 4.8% OF US GRAIN WAS USED FOR ETHANOL FUEL US GRAIN PRODUCTION HAS INCREASED SUBSTANTIALLY SINCE 2000, DUE TO INCREASED BIOFUEL PRODUCTION THE US PRODUCED 9 BILLION GALLONS 52% 1.7 BILLION GALLONS 2008 2001 OF THE WORLD'S TOTAL ETHANOL IN 2008 US ETHANOL PRODUCTION HAS INCREASED MORE THAN 5-FOLD SINCE 2001 THE US PRODUCES OVER 50% OF THE WORLD'S TOTAL ETHANOL MILLION TONNES OF US GRAIN 120 USED TO MAKE ETHANOL FOR MILLION PEOPLE THE GRAIN COULD FEED 350 CARS 100 300 250 80 107 MILLION TONNES OF GRAIN WAS USED TO PRODUCE 200 60 ETHANOL IN THE US IN 2009, THIS WOULD HAVE BEEN ENOUGH TO FEED 330 MILLION PEOPLE FORA YEAR 150 40 100 20 50 OVER 80 ETHANOL PLANTS HAVE BEEN BUILT SINCE 2007 THIS CAME AFTER BUSH CHALLENGED FARMERS TO INCREASE PRODUCTION BY 500% BY 2017, IN ORDER TO SAVE CARBON EMISSIONS AND TO REDUCE THE RELIANCE ON OIL IMPORTS 1980 1985 1990 1995 2000 2005 2010 $$ $$$$$$$$$ PRE 2006 AFTER 2006 PRICES FOR WHEAT, RICE, CORN AND SOYBEANS TRIPLED BETWEEN 2006 AND 2008 AS DEMAND FOR GRAINS TO BE USED FOR FUEL THE PRICE OF GRAIN IS NOW INTRINSICALLY LINKED TO THE PRICE OF OIL INCREASED WHEN THE PRICE OF OIL STARTS TO CLIMB, THE WORLD PRICE OF GRAIN MOVES UP TO ITS OIL-EQUIVALENT VALUE. THIS HAS HAD DEVASTATING EFFECTS ON THE MILLIONS OF PEOPLEWHOWERE ALREADY STRUGGLING TO PAY FOR FOOD. 1 BILLION THE NUMBER OF UNDERNOURISHED PEOPLE IN THE GRAIN REQUIRED TO FILL AN SUV'S 25-GALLON TANK WITH ETHANOL ONCE, COULD FEED OVER 300 THE WORLD IN 2009. THE NUMBER OF HUNGRY PEOPLE SHARPLY INCREASED AFTER FOOD PRICES PEOPLE A DAY SPIKED IN 2006 - 2008. IT IS NOW AT A RECORD-HIGH, IF THE ENTIRE US GRAIN HARVEST WERE TO BE CONVERTED TO ETHANOL, IT WOULD ONLY SATISFY AT MOST 18% OF THE US'S AUTOMOTIVE FUEL NEEDS Source: Earth Policy Institute and The Guardian "THE EMERGING COMPETITION BETWEEN THE OWNERS OF THE WORLD'S 910 MILLION AUTOMOBILES AND THE 2 BILLION POOREST PEOPLE IS TAKING THE WORLD INTO UNCHARTED TERRITORY. SUDDENLY THE WORLD IS FACING AN EPIC MORAL AND POLITICAL ISSUE: SHOULD GRAIN BE USED TO FUEL CARS OR FEED PEOPLE?THE AVERAGE INCOME OF THE WORLD'S AUTOMOBILE OWNERS IS ROUGHLY $30,000 A YEAR; THE 2 BILLION POOREST PEOPLE EARN ON AVERAGE LESS THAN $3,000 A YEAR. THE MARKET SAYS, LET'S FUEL THE CARS (LESTER R. BROWN) BIOFUEL: PEOPLE AND CARS COMPETING FOR GRAIN 1/4 OF ALL MAIZE AND CORN CROPS GROWN IN THE US IS NOW USED TO PRODUCE FUEL FOR CARS 2000 2009 1/4 OF ALL US GRAIN CROPS WAS USED TO PRODUCE BIOFUEL IN 2009 20 MILLION 107 MILLION TONNES TONNES IN 2000 ONLY 4.8% OF US GRAIN WAS USED FOR ETHANOL FUEL US GRAIN PRODUCTION HAS INCREASED SUBSTANTIALLY SINCE 2000, DUE TO INCREASED BIOFUEL PRODUCTION THE US PRODUCED 9 BILLION GALLONS 52% 1.7 BILLION GALLONS 2008 2001 OF THE WORLD'S TOTAL ETHANOL IN 2008 US ETHANOL PRODUCTION HAS INCREASED MORE THAN 5-FOLD SINCE 2001 THE US PRODUCES OVER 50% OF THE WORLD'S TOTAL ETHANOL MILLION TONNES OF US GRAIN 120 USED TO MAKE ETHANOL FOR MILLION PEOPLE THE GRAIN COULD FEED 350 CARS 100 300 250 80 107 MILLION TONNES OF GRAIN WAS USED TO PRODUCE 200 60 ETHANOL IN THE US IN 2009, THIS WOULD HAVE BEEN ENOUGH TO FEED 330 MILLION PEOPLE FORA YEAR 150 40 100 20 50 OVER 80 ETHANOL PLANTS HAVE BEEN BUILT SINCE 2007 THIS CAME AFTER BUSH CHALLENGED FARMERS TO INCREASE PRODUCTION BY 500% BY 2017, IN ORDER TO SAVE CARBON EMISSIONS AND TO REDUCE THE RELIANCE ON OIL IMPORTS 1980 1985 1990 1995 2000 2005 2010 $$ $$$$$$$$$ PRE 2006 AFTER 2006 PRICES FOR WHEAT, RICE, CORN AND SOYBEANS TRIPLED BETWEEN 2006 AND 2008 AS DEMAND FOR GRAINS TO BE USED FOR FUEL THE PRICE OF GRAIN IS NOW INTRINSICALLY LINKED TO THE PRICE OF OIL INCREASED WHEN THE PRICE OF OIL STARTS TO CLIMB, THE WORLD PRICE OF GRAIN MOVES UP TO ITS OIL-EQUIVALENT VALUE. THIS HAS HAD DEVASTATING EFFECTS ON THE MILLIONS OF PEOPLEWHOWERE ALREADY STRUGGLING TO PAY FOR FOOD. 1 BILLION THE NUMBER OF UNDERNOURISHED PEOPLE IN THE GRAIN REQUIRED TO FILL AN SUV'S 25-GALLON TANK WITH ETHANOL ONCE, COULD FEED OVER 300 THE WORLD IN 2009. THE NUMBER OF HUNGRY PEOPLE SHARPLY INCREASED AFTER FOOD PRICES PEOPLE A DAY SPIKED IN 2006 - 2008. IT IS NOW AT A RECORD-HIGH, IF THE ENTIRE US GRAIN HARVEST WERE TO BE CONVERTED TO ETHANOL, IT WOULD ONLY SATISFY AT MOST 18% OF THE US'S AUTOMOTIVE FUEL NEEDS Source: Earth Policy Institute and The Guardian "THE EMERGING COMPETITION BETWEEN THE OWNERS OF THE WORLD'S 910 MILLION AUTOMOBILES AND THE 2 BILLION POOREST PEOPLE IS TAKING THE WORLD INTO UNCHARTED TERRITORY. SUDDENLY THE WORLD IS FACING AN EPIC MORAL AND POLITICAL ISSUE: SHOULD GRAIN BE USED TO FUEL CARS OR FEED PEOPLE?THE AVERAGE INCOME OF THE WORLD'S AUTOMOBILE OWNERS IS ROUGHLY $30,000 A YEAR; THE 2 BILLION POOREST PEOPLE EARN ON AVERAGE LESS THAN $3,000 A YEAR. THE MARKET SAYS, LET'S FUEL THE CARS (LESTER R. BROWN) BIOFUEL: PEOPLE AND CARS COMPETING FOR GRAIN 1/4 OF ALL MAIZE AND CORN CROPS GROWN IN THE US IS NOW USED TO PRODUCE FUEL FOR CARS 2000 2009 1/4 OF ALL US GRAIN CROPS WAS USED TO PRODUCE BIOFUEL IN 2009 20 MILLION 107 MILLION TONNES TONNES IN 2000 ONLY 4.8% OF US GRAIN WAS USED FOR ETHANOL FUEL US GRAIN PRODUCTION HAS INCREASED SUBSTANTIALLY SINCE 2000, DUE TO INCREASED BIOFUEL PRODUCTION THE US PRODUCED 9 BILLION GALLONS 52% 1.7 BILLION GALLONS 2008 2001 OF THE WORLD'S TOTAL ETHANOL IN 2008 US ETHANOL PRODUCTION HAS INCREASED MORE THAN 5-FOLD SINCE 2001 THE US PRODUCES OVER 50% OF THE WORLD'S TOTAL ETHANOL MILLION TONNES OF US GRAIN 120 USED TO MAKE ETHANOL FOR MILLION PEOPLE THE GRAIN COULD FEED 350 CARS 100 300 250 80 107 MILLION TONNES OF GRAIN WAS USED TO PRODUCE 200 60 ETHANOL IN THE US IN 2009, THIS WOULD HAVE BEEN ENOUGH TO FEED 330 MILLION PEOPLE FORA YEAR 150 40 100 20 50 OVER 80 ETHANOL PLANTS HAVE BEEN BUILT SINCE 2007 THIS CAME AFTER BUSH CHALLENGED FARMERS TO INCREASE PRODUCTION BY 500% BY 2017, IN ORDER TO SAVE CARBON EMISSIONS AND TO REDUCE THE RELIANCE ON OIL IMPORTS 1980 1985 1990 1995 2000 2005 2010 $$ $$$$$$$$$ PRE 2006 AFTER 2006 PRICES FOR WHEAT, RICE, CORN AND SOYBEANS TRIPLED BETWEEN 2006 AND 2008 AS DEMAND FOR GRAINS TO BE USED FOR FUEL THE PRICE OF GRAIN IS NOW INTRINSICALLY LINKED TO THE PRICE OF OIL INCREASED WHEN THE PRICE OF OIL STARTS TO CLIMB, THE WORLD PRICE OF GRAIN MOVES UP TO ITS OIL-EQUIVALENT VALUE. THIS HAS HAD DEVASTATING EFFECTS ON THE MILLIONS OF PEOPLEWHOWERE ALREADY STRUGGLING TO PAY FOR FOOD. 1 BILLION THE NUMBER OF UNDERNOURISHED PEOPLE IN THE GRAIN REQUIRED TO FILL AN SUV'S 25-GALLON TANK WITH ETHANOL ONCE, COULD FEED OVER 300 THE WORLD IN 2009. THE NUMBER OF HUNGRY PEOPLE SHARPLY INCREASED AFTER FOOD PRICES PEOPLE A DAY SPIKED IN 2006 - 2008. IT IS NOW AT A RECORD-HIGH, IF THE ENTIRE US GRAIN HARVEST WERE TO BE CONVERTED TO ETHANOL, IT WOULD ONLY SATISFY AT MOST 18% OF THE US'S AUTOMOTIVE FUEL NEEDS Source: Earth Policy Institute and The Guardian "THE EMERGING COMPETITION BETWEEN THE OWNERS OF THE WORLD'S 910 MILLION AUTOMOBILES AND THE 2 BILLION POOREST PEOPLE IS TAKING THE WORLD INTO UNCHARTED TERRITORY. SUDDENLY THE WORLD IS FACING AN EPIC MORAL AND POLITICAL ISSUE: SHOULD GRAIN BE USED TO FUEL CARS OR FEED PEOPLE?THE AVERAGE INCOME OF THE WORLD'S AUTOMOBILE OWNERS IS ROUGHLY $30,000 A YEAR; THE 2 BILLION POOREST PEOPLE EARN ON AVERAGE LESS THAN $3,000 A YEAR. THE MARKET SAYS, LET'S FUEL THE CARS (LESTER R. BROWN) BIOFUEL: PEOPLE AND CARS COMPETING FOR GRAIN 1/4 OF ALL MAIZE AND CORN CROPS GROWN IN THE US IS NOW USED TO PRODUCE FUEL FOR CARS 2000 2009 1/4 OF ALL US GRAIN CROPS WAS USED TO PRODUCE BIOFUEL IN 2009 20 MILLION 107 MILLION TONNES TONNES IN 2000 ONLY 4.8% OF US GRAIN WAS USED FOR ETHANOL FUEL US GRAIN PRODUCTION HAS INCREASED SUBSTANTIALLY SINCE 2000, DUE TO INCREASED BIOFUEL PRODUCTION THE US PRODUCED 9 BILLION GALLONS 52% 1.7 BILLION GALLONS 2008 2001 OF THE WORLD'S TOTAL ETHANOL IN 2008 US ETHANOL PRODUCTION HAS INCREASED MORE THAN 5-FOLD SINCE 2001 THE US PRODUCES OVER 50% OF THE WORLD'S TOTAL ETHANOL MILLION TONNES OF US GRAIN 120 USED TO MAKE ETHANOL FOR MILLION PEOPLE THE GRAIN COULD FEED 350 CARS 100 300 250 80 107 MILLION TONNES OF GRAIN WAS USED TO PRODUCE 200 60 ETHANOL IN THE US IN 2009, THIS WOULD HAVE BEEN ENOUGH TO FEED 330 MILLION PEOPLE FORA YEAR 150 40 100 20 50 OVER 80 ETHANOL PLANTS HAVE BEEN BUILT SINCE 2007 THIS CAME AFTER BUSH CHALLENGED FARMERS TO INCREASE PRODUCTION BY 500% BY 2017, IN ORDER TO SAVE CARBON EMISSIONS AND TO REDUCE THE RELIANCE ON OIL IMPORTS 1980 1985 1990 1995 2000 2005 2010 $$ $$$$$$$$$ PRE 2006 AFTER 2006 PRICES FOR WHEAT, RICE, CORN AND SOYBEANS TRIPLED BETWEEN 2006 AND 2008 AS DEMAND FOR GRAINS TO BE USED FOR FUEL THE PRICE OF GRAIN IS NOW INTRINSICALLY LINKED TO THE PRICE OF OIL INCREASED WHEN THE PRICE OF OIL STARTS TO CLIMB, THE WORLD PRICE OF GRAIN MOVES UP TO ITS OIL-EQUIVALENT VALUE. THIS HAS HAD DEVASTATING EFFECTS ON THE MILLIONS OF PEOPLEWHOWERE ALREADY STRUGGLING TO PAY FOR FOOD. 1 BILLION THE NUMBER OF UNDERNOURISHED PEOPLE IN THE GRAIN REQUIRED TO FILL AN SUV'S 25-GALLON TANK WITH ETHANOL ONCE, COULD FEED OVER 300 THE WORLD IN 2009. THE NUMBER OF HUNGRY PEOPLE SHARPLY INCREASED AFTER FOOD PRICES PEOPLE A DAY SPIKED IN 2006 - 2008. IT IS NOW AT A RECORD-HIGH, IF THE ENTIRE US GRAIN HARVEST WERE TO BE CONVERTED TO ETHANOL, IT WOULD ONLY SATISFY AT MOST 18% OF THE US'S AUTOMOTIVE FUEL NEEDS Source: Earth Policy Institute and The Guardian