California could soon be the final state to approve the sale of E-15 biofuel, which could be a “Golden” lining for this year’s bumper corn crop, ready for harvest when low market prices are a big concern for producers.
Golden State lawmakers reversed course on E-15 this month, sending a bill to Governor Gavin Newsom’s desk to allow for sales to accomplish the Administration’s goal to reduce gas prices. According to AAA (on Sept. 9, 2025), a gallon of regular gas costs $4.63, which is more than a dollar higher than the U.S. national average.
While Gov. Newsom has yet to sign that bill, biofuel groups remain hopeful, adding that it would help absorb the surplus of low-cost corn about to hit the market.
“That adds another 500, almost 600 million gallons of new demand for American ethanol, when California adopts E15,” explained Troy Bredenkamp with the Renewable Fuels Association. “It’s 200 million bushels of new demand for new corn grind. So that is significant when you’re looking at one of the biggest crops, maybe the biggest crop in history, coming in this fall.”
Bredenkamp is also calling on Congress to settle the E-15 debate once and for all when it comes to year-round sales. Use of E-15 was previously banned during the summer months because it was believed to be more volatile in high temperatures, and there was worry it could contribute to smog and reduce air quality.
However, biofuel groups argue that science has disproved this theory. Arguing it is actually less volatile than standard gasoline.
Congressman Dusty Johnson of South Dakota joined us to discuss key ag policy developments and his outlook for agriculture in 2026.
January 15, 2026 12:51 PM
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Record ethanol production and improving blending demand continue to support corn usage despite rising short-term inventories.
January 15, 2026 11:47 AM
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RFD News correspondent Frank McCaffrey reports from Texas on the ongoing water dispute and its implications for U.S. farmers.
January 14, 2026 12:17 PM
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Freight volatility increasingly determines export margins, making logistics costs as important as price in marketing decisions.
January 14, 2026 06:00 AM
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Texas Agriculture Commissioner Sid Miller today unveiled a bold plan to protect the nation’s prime farm and ranchland from the rapid spread of data centers.
January 13, 2026 03:36 PM
USDA flash corn sales, Cattle on Feed and Inventory reports, and beef packer antitrust concerns dominate January agricultural market news.
January 13, 2026 01:53 PM
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U.S. Secretary of Agriculture Brooke Rollins said permanent access to the higher ethanol blend would provide farmers with much-needed certainty while supporting domestic crop demand.
January 13, 2026 01:31 PM
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Larger grain stocks increase supply pressure, but strong fall disappearance — especially for corn and sorghum — suggests demand remains an important offset.
January 13, 2026 01:02 PM
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Record corn and sorghum crops boost feed grain supplies, while reduced soybean and cotton production tighten outlooks for oilseeds and fiber markets.
January 13, 2026 12:53 PM
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