WASHINGTON, D.C. - As the unrest in Egypt continues on, some pundits are desperately seeking reasons for the riots. Many responsible talking heads are citing very defensible theories - rampant poverty, government corruption, and a true desire for a new government. Some, as Renewable Fuels Association CEO and President Bob Dinneen points out in his new blog post here http://bit.ly/gZHJ3s, are "choosing to rehash their grievances with old scapegoats." Among the favorites is American ethanol production.




Claims that U.S. ethanol production is driving up food prices and stirring discontent is just not supported by the facts. As Dinneen notes, "… U.S. ethanol production demand represents just 3 percent on a net basis. Equally noteworthy, that 3 percent is of a growing supply of grain as farmers in the U.S. and around the world continue to produce more." Even the most red-faced ethanol detractor would have a hard time suggesting such a small market presence is driving prices.




Dinneen also goes on to point out that American ethanol production is adding livestock feed to the global market to help feed herds and poultry flocks in places like…Egypt.




There are number of reason why what is happening in Egypt and the Middle East are of the utmost importance. And there are a wide variety of reasons that may be at the root cause of the unrest. "Understanding the cause of such unrest is important," Dinneen writes. "But wild speculation and irresponsible assignment of blame, as is occurring in some corners with respect to global biofuels production, is not helpful. But ethanol simply isn't one."




SOURCE: Renewable Fuels Association