Questions about anhydrous ammonia: is it an ethanol deterrent?
Published by gwen October 29th, 2007 in Agriculture, Beyond North Dakota, Energy, Politics and Government, Uncategorized.An article published today in the Minot Daily News brings to light a new possible deterrent to ethanol development: the high cost of using anhydrous ammonia to produce a bumper crop of corn.
The article–Producers roll through corn harvest–seems to indicate that corn prices haven’t risen as much as farmers expected them to even though the development of ethanol plants were intended to boost the commodity. Corn prices in the state right now are around $3 per bushel but were predicted to rise to around $5 per bushel.
The high cost of purchasing anhydrous ammonia–which, according to the article, is also going up in price–could mean that fewer farmers will be able to plant corn next year. Surely that could drive the corn prices up, but will there be enough corn available for the developing ethanol plants if fewer farmers plant the crop?
More questions I have:
- What is causing the increase in the price of anhydrous ammonia? And why?
- How will North Dakota be effected economically (long term) if farmers can’t afford to plant corn because they can’t afford the fertilizer?
I live in Brazil and drive a Ford. It has a flex fuel carburation system. I can fill up with gasoline. Or Ethanol. I can run any combination. Ford and GM are both profitable here in Brazil. I cannot understand why flex fuel is not available in the states, or also, why the U.S. government keeps a gun pointed at it´s own head by sending money to Venezuela and Iran on an industrial scale. Use flex fuel and burn ethanol !! Where is the Ag lobby on this !!! Marty, Rio de Janeiro
It would be wonderful if all the cars here had a flex fuel system. I’m not sure why that hasn’t happened yet. An up-to-ten percent ethanol/gasoline mix is available at most pumps here in North Dakota. If I remember correctly, there is some push to move that to a 25 percent mix by 2025–it’s progress, but slow and still not nearly as flexible as what you have.
North Dakota is experiencing a big renewable energy/clean energy push right now. Ethanol and other biofuels are a part of that, but because the state’s number one industry is agriculture, there is some concern about the link to crop prices and the industry’s effect on conservation lands.
Former North Dakota governor Ed Schafer has just been nominated to be the federal Ag Secretary. I’m curious to see if he will (or will be able to) impact this at all.