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AMI, Ag Groups, Send Letter in Support of Imported Ethanol Parity Act

31 July 2008

US - The American Meat Institute, joined by a number of dairy, livestock and poultry groups, has sent a letter in support of the Imported Ethanol Parity Act (S 3080), introduced by California Senator Dianne Feinstein.

The legislation, if passed, would reduce a trade barrier on clean and climate-friendly ethanol imports that could save American consumers money on a product that is mandated and at a time of record high gas prices.

"By reducing or eliminating the tax on imported ethanol, this legislation could ease the economic strain that is heavily impacting the agriculture, food and beverage industries," the letter notes.

"At a time when animal agriculture is facing pressures on many fronts, this slight modification could produce positive relief on record high corn prices."

The letter added that this measure paves the way to introduce ethanol produced from highly productive non-feedgrain inputs, thereby easing domestic feed and food price inflation concerns.

Internationally produced ethanol is often derived from sugar cane, which can produce more than twice as much ethanol than domestic sources from the same acre of land.

"While our industry would like to see the elimination of the ethanol tariff altogether, this legislation is a crucial step in the right direction," the letter concludes.

To view this letter in its entirety, click here:

TheCattleSite News Desk


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