Governors' Biofuels Coalition

The larger-than-expected U.S. corn supply is triggering fresh calls for Congress to pass ethanol legislation the industry says is critical to future growth. Biofuel backers pushing for the ability to sell higher blends of ethanol, known as E15, both all year and nationwide, say USDA made their case for them on Monday. That’s when USDA’s supply-and-demand report showed a record large 2025 corn crop of more than 17 billion bushels, with inventories rising the most in eight years and prices falling to the lowest level in six years.

Renewable Fuels Association CEO Geoff Cooper says the bearish market forces are a “sobering wake-up call about the state of the farm economy.” He says doing away with the E15 barrier, as well as outdated fuel retail infrastructure regulations, is the fastest way to get the market on the right track. Cooper says that ethanol expansion through E15 sales could create new demand for more than 2 billion bushels of corn and sorghum and save consumers an estimated 10 to 30 cents per gallon at the gasoline pump. Farm-state lawmakers are trying to pass E15 legislation early this year. They face opposition from some independent refiners, environmentalists and some Democrats.

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