AFBF Economist: Year-Round E15 Could Give Bumper Corn Crop a Big Boost

AFBF economist Faith Parum breaks down the potential impact of the proposed policy change to allow year-round sales of E15 biofuel.

WASHINGTON, D.C. (RFD-TV) — With a bumper corn crop this season, U.S. farmers are searching for ways to expand market opportunities — and one potential boost could come from year-round sales of E15, a higher ethanol blend that experts say could lift corn demand, lower fuel prices, and strengthen overall farm income.

American Farm Bureau Federation (AFBF) economist Faith Parum joined us on Thursday’s Market Day Report to break down the potential impact of the policy change.

Parum explained that allowing E15 sales year-round would likely increase corn demand, since ethanol production relies heavily on the crop. The move could also help consumers by offering a lower-cost, cleaner-burning fuel option at the pump — benefits that could ripple throughout the rural economy.

Currently, E15 cannot be sold nationwide during summer months due to environmental regulations tied to air quality standards, a restriction farm groups and ethanol advocates have long pushed to remove.

Looking ahead, Parum noted that even as electric vehicle adoption grows and gasoline demand levels off, biofuel policy remains key to sustaining markets for American farmers. She said maintaining and expanding ethanol access is an important way to ensure a strong, reliable outlet for corn in the years ahead.

Related Stories
Falling commodity prices and rising costs continue to squeeze farm margins. Kip Jacobs with The Mosaic Company addresses fertilizer market pressures, nutrient use efficiency, and strategies growers can consider to protect their fertilizer investment this season.
Kurt Kovarik of Clean Fuels Alliance America joined us to break down the latest developments in the Renewable Fuel Standard rulemaking process and what it could mean for agriculture, energy markets, and rural economies.
Jennifer Tirey of the Illinois Pork Producers Association joined us to discuss efforts to bring pork back into Chicago Public Schools, the nutritional benefits for students, and what the decision could mean for pork producers across the state.
Farmer and retired colonial Joe Ricker joined us to highlight Ag Safety Awareness Program Week, share his work supporting veterans and farmers, and offer guidance on making safety a year-round priority on the farm.
Crop value concentration keeps farm income tied closely to commodity price cycles.
High fertilizer costs and global risks threaten spring margins for growers.

LATEST STORIES BY THIS AUTHOR:

Economists are also closely watching how policy decisions in Washington could influence markets moving forward. Analysts say deferred futures for corn, soybeans, and wheat suggest markets are operating near break-even levels, not at prices that would encourage expanded production.
House Agriculture Committee Chairman “GT” Thompson is pushing a “Farm Bill 2.0.”
University of Nebraska President Dr. Jeffrey Gold joined us with important insights on drug safety and rural health during the winter months.
Quinn Rutt of Upstream Ranch previews the Nebraska cattle operation’s 49th Annual Production Sale where buyers can expect standout sire groups and a blend of long-standing ranch practices with modern genetic selection.
Jim Matheson, CEO of the National Rural Electric Cooperative Association, provides new updates on winter storm impacts and the outlook for rural power reliability.
Jessi Grote from the AgriSafe Network provides winter safety guidance for rural communities still recovering from the recent winter storm.
Agriculture Shows
Hosted by Scott “The Cow Guy” Shellady and RFD News Markets Specialist Tony St. James, Commodity Talk delivers expert insight into the day’s ag commodity markets just before the CME opens. Only on RFD-TV and Rural Radio SiriusXM Channel 147.
A look at the news, weather and commodities headlines that drove agriculture markets in the past week.
Everything profits from prairie. Soil, air, water — and all kinds of life! Learn how you can improve your land with prairie restoration, cover crops and prairie strips, while growing your bottom line.
Special 3-part series tells the story of the Claas family’s legacy, which changed agriculture forever.