Ethanol producers are feeling the crunch that was only a matter of time . . . the profit does not beat the yield.  With one acre of land producing about 7,110 pounds of corn, that works out to being able to process 328 gallons of ethanol.  Breaking it down further, it takes about 26.1 pounds of corn to make just one gallon of ethanol.  You won’t hear much about it from the main news media, but ethanol manufacturers/producers are dropping along the wayside . . . they simply cannot make any money doing what they are doing.   Huh?  Who saw that coming?

Nearly every publicly traded ethanol company has filed for bankruptcy over the last year. These include VeraSun Energy, Aventine Renewable Energy Holdings and Pacific Ethanol, just to name a few.   Ethanol producers are unable to survive.  Large subsidies from Federal and State governments could help, but is still no guarantee.   It was a huge undertaking across the country to move to the 10% ethanol/gas mixture, even when the “no-profit” talk was being discussed.   Now, we see many ethanol producers filing bankruptcy.

What is also ironic, is the fact that some of the ethanol producers going belly up, were actually sold to oil companies . . . imagine that.

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: bankruptcy, corn, ethanol, ethanol gas, filing, manufacturers, producers, profit

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