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U.S Corn Shortage Prompts 20 Ethanol Plants to Halt Production

Ethanol production won’t likely resume until 2013 corn harvest

By , Farms.com

The ongoing U.S drought has made corn a scarce commodity, which has forced 20 ethanol plants in the United States to halt production.

According to the Renewable Fuels Association, 20 out of 211 ethanol plants have had to halt production over the past year. Most of the plants will still remain open, as this will be an opportunity to perform maintenance related tasks. Despite this, it is expected that ethanol production won’t resume again until this year’s corn is harvested sometime in August or September.

There is a growing concern that another season of drought during this year’s corn-growing season could mean bad news for the industry. Corn is expected to remain in short supply and expensive until the 2013 corn crop is harvested.


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Iran War = “Trend is Your Friend” Short-Term BUT……

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Historically wars like the 2026 Iran war are bullish hard assets like grains, metals and energy! The funds are spooked and do not want to be short, but do they price in the news over time, similar to the Ukraine/Russian war that started on Feb. 24, 2022? A closure of the Strait of Hormuz is the key to the surge in crude oil, natural gas prices and fertilizer prices.  Grains are breaking out to new contract highs as a hedge against inflation.