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Updated · Barron's · May 11Biofuels become big business as high crude prices lift demand
7 articles · Updated · Barron's · May 11
- Demand is rising for fuels made from soybeans, corn and animal fats as motorists face $4 gasoline and farmers benefit from stronger biofuel markets.
- The crude-price surge is boosting the economics of renewable fuel production, increasing interest in agricultural feedstocks tied to energy markets.
- The shift links farm incomes more closely to oil prices, with higher fuel costs for drivers helping support biofuels producers and crop demand.
As biofuel demand soars, why are many American farmers facing their worst financial crisis in years? Is the government's solution to high gas prices creating a new, permanent crisis at the grocery store?