May 13, 2004 * Volume 11* Number 18

NCGA's Mission: To Create and Increase Opportunities
for Corn Growers in a Changing World

This is Corn Commentary, the weekly newsletter for state and national grower leaders of the National Corn Growers Association (NCGA). For complete stories and updated NCGA information, visit www.ncga.com or the NCGA Leader Resource Center, www.insidencga.com.

IN THIS ISSUE:

• NCGA Encourages Manufacturers to Participate in Biobased Procurement Program
• NCGA Applauds Senate Passage of Corporate Tax Bill with $13 Billion Energy Tax Package
• NCGA, AgiTalk Announce Ethanol Pump Tour Locations
• USDA Increases Corn Use Projection for 2004-05, NCGA Notes
• Cargill Plan to Import Ethanol Threatens Domestic Producers, NCGA President Says
• NCGA, AgriTalk Announce Ethanol Pump Tour Locations
• NCGA’s Shunk Discusses Potential Impact of Bioproducts Industry on Rural Development
• Taiwan Feed Group Purchases U.S. Corn, Despite Suspension of Ban on Chinese Corn

NCGA Applauds Senate Passage of Corporate Tax Bill with $13 Billion Energy Tax Package NCGA is pleased with Senate passage late May 11 of the corporate tax bill, S. 1637, which includes a $13 billion energy tax package and the small producer tax credit. That tax package was earlier stripped from the larger energy bill by Sen. Pete Domenici (R-N.M.) in an effort to break the political blockage and secure its passage. NCGA is cautiously optimistic the House will follow suit.(More On This Story)

Cargill Plan to Import Ethanol Threatens Domestic Producers, NCGA President Says
NCGA strongly condemned plans by Cargill Corporation to import Brazilian ethanol through El Salvador as a means of circumventing U.S. tariffs on imported ethanol. Cargill reportedly has plans to build a dehydration plant in El Salvador that will convert ethanol from Brazil into fuel grade ethanol. Under Caribbean Basin Initiative (CBI) provisions, the refined ethanol may then be sent to the United States duty-free. (More On This Story)

NCGA, AgriTalk Announce Ethanol Pump Tour Locations

NCGA, several of its affiliated state associations and AgriTalk Radio are teaming up to spread the word about the benefits of using ethanol. AgriTalk’s Mike Adams will be joining growers in towns throughout the Corn Belt this summer for the “Ethanol Pump Tour,” an event designed to raise public awareness about renewable fuels. (More On This Story)

USDA Increases Corn Use Projection for 2004-05, NCGA Notes
Use of corn is expected to increase considerably in the 2004-05 marketing year, largely due to the expanding ethanol market and an uptick in exports, according to today’s U.S. Department of Agriculture (USDA) World Agricultural Supply and Demand Estimates (WASDE) report.(More On This Story)

NCGA Encourages Manufacturers to Participate in Biobased Procurement Program
Corn-based product manufacturers who wish to participate in the Federal Biobased Products Preferred Procurement Program (FB4P) are being asked to submit product information to the U.S. Department of Agriculture (USDA). As a longtime proponent of new uses and markets for corn, NCGA is encouraging qualified manufacturers to participate in the program. (More On This Story)

NCGA’s Shunk Discusses Potential Impact of Bioproducts Industry on Rural Development
A viable bioproducts industry could provide the same type of rural development made possible by the ethanol industry, NCGA Director of Business Development Rene Shunk told a group of researchers at the University of California–Davis last week. (More On This Story)

Taiwan Feed Group Purchases U.S. Corn, Despite Suspension of Ban on Chinese Corn
NCGA and the U.S. Grains Council are pleased that a Taiwanese feed group recently purchased 57,000 metric tons of U.S. corn, despite their earlier persuading of Taiwanese government officials to temporarily lift their ban on Chinese corn. “This is a clear indication that the Council’s efforts to assure the Taiwan feed industry of the high quality and feed efficiency of U.S. corn compared to Chinese corn did not fall on deaf ears,” said Ken Hobbie, USGC president and CEO. “We expect to see such purchases continue as evidence of our historically strong trade relationship with Taiwan.” In an effort to lower feed prices for local livestock producers, Taiwan lifted its ban on Chinese corn March 25-May 24 this year. In 2002-03, Taiwan was the third-largest customer for U.S. corn, behind Japan and Mexico, importing 4.3 million tons of U.S. corn.
Story courtesy of the U.S. Grains Council

Of Special Interest:

Click Here To View Your Local Weekend Weather Forecast

Next Week:

More calendar information is available on the NCGA Leader Resource Center, http://www.insidencga.com

© 2004 National Corn Growers Association

ST. LOUIS OFFICE

WASHINGTON D.C. OFFICE