Ag Professional Weekly
RFS Would Increase Net Farm Income

Source: Texas A&M

The new renewable fuel standards are expected to lead to more than a $13 billion increase in net farm income, but consumers would pay $10 more for food per person annually, according to a Texas economist.

"Ultimately, it's going to take farm land away from food production," said Bruce McCarl, Ph.D., economist, who teamed with Robert Beach of RTI International in a report to the U.S. Environmental Protection Agency in support of their rule-making effort. "For agricultural producers, you would have conventional income and energy income. Farmers get more money from the land. For the last five years, commodity prices went up and corn prices went up. Farmers enjoyed historically high prices."

Original press release