Biden’s Biofuel Push Risks Dethroning Corn as King of US Crops

Soybean

Market & Price Trends

Innovation & Technology

Published Mar 29, 2024

Tridge summary

For over a century, American farmers have predominantly planted corn over soybeans. However, the increasing demand for soybean oil, driven by President Joe Biden's green energy initiatives and the rise of green diesel, is shifting this trend. With new soybean processing plants being built and electric vehicles reducing the need for grain ethanol, soybeans are poised to become the primary crop in the U.S., potentially surpassing corn in planted acreage for the first time in over 100 years. This shift marks a significant change in American agriculture, influenced by the growing emphasis on decarbonization and renewable energy sources.

Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

American farmers will plant more corn than soybeans in 2024 – as they have in most years for over a century. But beyond that, a green diesel boom threatens to dethrone the king of all crops. President Joe Biden’s decarbonization plan and the huge subsidies it offers to green energy are boosting demand for soybean oil, key to renewable diesel production. That means the old adage that the U.S. farmer likes to plant corn could become history, with soy taking the No. 1 spot in the future. “Most would see a future where that would be the case,” said Paul Maass, chief executive officer of Omaha, Nebraska-based crop handler Scoular Co. The biofuels push has already unleashed a race to build soybean processing plants, with companies including Cargill Inc. and Bunge Global SA planning to expand capacity. The U.S. currently has more than 20 projects to increase the so-called crush, which produces soy oil and meal used in animal feed. “When you look at all the crush facilities that have been ...

Source: UkrAgroConsult