Also in this playlist...
This transcript is automatically generated
We've got a special conference room coming for you today here at the Chicago -- -- speedway outside Chicago.
The reason we're here are some not talk about racing but -- talk about half that -- talking about.
Powell if you promote a new industry are reasonably new industry with Paul Taylor a deal like corn growers association.
-- prices down.
This makes -- a lot more back.
A viable and when you -- seven dollar porn last summer absolutely we we we had hoped for a large crop this year looks like we're getting it globally -- -- Played a lot of production so we're gonna have an adequate supply for our customers both livestock domestically and for the ethanol industry.
Here -- on -- on this segment we try to give.
New business owners and people in the business world insight into their businesses you're in the business of promoting ethanol which -- -- Subways in new industry.
Takes a lot of heat sometimes about government subsidies and some people say it's just not efficient -- fortunately -- been around a long time Henry Ford was involved -- biofuels hold that takes decades ago.
And now we had efforts during the war years so this is nothing new.
Oil industry has -- -- strongly entrenched in this country and they've been important to our growth over time we know that but we think biofuel is really important.
To have a sustainable economy did have a sustainable environment as we move forward in this century let me take you through some of those arguments.
-- in Detroit the auto makers say.
The mileage isn't as good when you -- with -- and they also -- potentially can harm vehicle's engines well I cannot.
Today that the mileage issue is critical.
However with the reduction in the price of -- that more than makes up for that difference it's a new pair diamond would lower price the corn that's gonna go there.
Engine damage I do -- we talked we work a lot with the folks in Detroit and there really encouraged about biofuels into the -- many of the engineers are.
So I don't know that they're really coming out especially the American auto industry that coming out in favor about doing away with ethanol.
And we note that 15% ethanol blend is what everybody at NASCAR runs he's got these guys obviously about high performance.
They say there hasn't been a problem in four million.
-- four million miles that -- reports that they've been running.
Dozens of races and now obviously this is high stress this is not just running down the expressway -- -- in the minivan to pick up the kids after soccer practice this is really didn't test.
And we think that this fuel is standing up.
To the test -- -- wanna take you to the issue of subsidies obviously had some big subsidies earlier on the they've been pared back but still there are credits for people but establish an 85 pump new new gas stations that you sense of it.
-- all and all other other.
Subsidies as well.
Is it time to back off.
Well many of those have gone away.
Most of my production life I've produce corn it's been -- surplus situation.
Now with the biofuels.
We don't depend on the government for it up keeping the rural America on its feet.
And -- -- that's going to happen all that's picked up a lot of the acres that were left thumb planted it in the 1990s.
And so we think this is the way to go as far as -- -- -- what Michael oil but the newly emerging industries sometimes.
And -- other incentives to -- make that transition.
Plus gas station this country.
Less than 3000.
Sell 85 in just a couple handfuls it's only fifteen now we need to change -- and I got to ask you lastly if there wasn't a man -- Required.
Blenders to have refiners to blend in at -- all.
Where would you media think right well let's let's did you you hit the nail on the head here a minute ago.
It's ethanol is sixty to eighty cents cheaper why wouldn't the oil companies be using it.
If you do the economics -- there they're gonna need to continue to use at the reality is sometimes they may be driven by other things -- short term economics.
They may have longer term goals that involves squeezing ethanol out.
We think we're here to -- Paul Taylor making a very articulate case for -- despite the loud noise here at the Chicago land.
Which is preparing for a big race on Sunday but as you can see everybody had to watch out there that's a number 27 -- Car that's Paul Menard you guys know monarchos.
That's going to be running 50% ethanol blend as everybody else will -- their races.
I'm Jeff Flock conference room thanks for watching.
Filter by section