Hopefully with cheaper gas there will be more gallons of gas used. If the US uses more gas then there is more ethanol used to blend with that gas. I also think we are on pace to use 4.5 B bu. of corn for ethanol and that is what USDA used in the last supply and demand report. Last week we produced a little over 800 M barrels of ethanol a day and that was the lowest so far this year. At that rate will use 4.5 B bushels of corn. I can see some more plants shutting down if things don't get better for the ethanol industry but so far production has held up better then I thought it would with $7.00 plus corn. |