President Donald Trump made the biggest pitch for year-round E15 since his first term, calling on Congress to include the pro-ethanol measure in a nearly $88 billion legislative package to fund a raft of items, including the Iran war and $11 billion in financial aid for farmers.
The request to allow year-round, voluntary sales of higher ethanol-gasoline blends, known as E15, was made in a supplemental funding package Wednesday.
E15 is a top issue for farmers and ethanol producers, who say the biofuel lowers gasoline costs and reduces emissions.
“Year-round E15 is a win for soybean and corn farmers alike,” said American Soybean Association President Scott Metzger. “ASA supports pursuing legislation that will boost ethanol sales while continuing to support the biomass-based diesel industry and its use of soybean oil.”
The House passed an E15 bill last month, but that measure isn’t expected to be taken up in the Senate, which faces a higher voting threshold to pass legislation. The measure drew opposition from some oil refiners due to a separate provision that would change the process of exempting oil firms from biofuel-blending rules.
The big picture: Ethanol and ag groups are hopeful Trump’s move can finally get a bill over the finish line.
“President Trump clearly recognizes that E15 helps Americans save money with each fill-up, while also strengthening the farm economy and bolstering U.S. energy security,” Renewable Fuels Association CEO Geoff Cooper said.
Growth Energy CEO Emily Skor said Congress shouldn’t miss this opportunity.
“Drivers are looking to their elected leaders for relief from higher prices, and farmers are looking for new markets to ensure they can stay in business,” she said.
Biomass-based diesel marine fuel in focus on Capitol Hill
Members of Clean Fuels Alliance America gathered on Capitol Hill this week to stress the need to pass legislation to expand biomass-based diesel use in ocean-going vessels.
Iowa Republican Rep. Mariannette Miller-Meeks met with the group to discuss her bill, the Renewable Fuel for Ocean-Going Vessels Act.
“New markets mean more opportunity for Iowa producers,” she said.
Ag labor bill set for introduction June 30, Thompson says
House Agriculture Committee Chair Glenn “GT” Thompson, R-Pa., is set to introduce his agriculture labor bill on June 30, he told Agri-Pulse Wednesday.
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Draft text already released proposes changing the temporary agricultural worker status to 350 days regardless of the operation’s need for the job, which would allow dairy producers to use the H-2A program.
Thompson said the reason for waiting to introduce the bill officially is to “build an army of original co-sponsors.”
Trump officials say frozen Iranian funds will be released to buy U.S. ag commodities
Trump says the administration plans to release some frozen Iranian funds to buy food and agricultural commodities from the U.S., but Iranian officials dispute that anyone but Iran will be in charge of making purchasing decisions.
In a Truth Social post Wednesday, Trump said while no money has yet been released, the U.S. will be releasing some, “for the purchase of Corn, Wheat, Soybeans, and more.”
"Food is desperately needed in Iran, and we will be purchasing it for them exclusively from the United States,” Trump wrote.
In a CNBC appearance yesterday, Treasury Secretary Scott Bessent said the U.S. will have representatives in Doha, Qatar, overseeing how the money is allocated, and that a large share would go toward U.S. foodstuffs and medicine.
The text of a recent memorandum of understanding between the two countries says the U.S. would work to make frozen and restricted Iranian funds and assets fully available for use once the MOU is implemented. It also says, however, that the two nations must mutually agree upon procedures for releasing the funds during negotiations.
But, but, but: A post from the Telegram account for the Iranian Foreign Ministry’s spokesperson (translated using Google Translate) said purchasing decisions are made by Iran’s Agriculture Ministry “as they see fit,” based on price and quality. “Therefore, there are no restrictions in this regard,” the translated statement said.
In response to U.S. officials' claims, the Iranian foreign ministry also remarked that “it is interesting to us that the philosophy and goal of the war ... has been reduced to making American farmers richer."
The White House did not respond to a request for comment.
Organic food import fraud is target of bipartisan House bill
In a bid to protect U.S. farmers and boost consumer confidence in organic food labels, Iowa Republican Rep. Zach Nunn and Ohio Democratic Rep. Shontel Brown are introducing the “Organic Imports Verification Act.”
The bill would increase residue testing and oversight of imported food to ensure U.S. industry standards are met.
A loophole in current law allows imported feedstuffs to enter the U.S. based only on foreign-issued certifications. This opens the door to fraud that undercuts farmers or fosters public skepticism about organic goods, Nunn and Brown, both members of the House Ag Committee, said in a statement on Wednesday.
The National Organic Coalition praised the bill and called on Congress to include the measure in a final farm bill.
Conditions stable in Fed district covering Texas
Bankers in the Federal Reserve’s 11th District, covering Texas, northern Louisiana and southern New Mexico, say conditions in most areas are “stable but depressed” in the district’s latest quarterly survey, according to a news release. But they also said ranchers were concerned about the spread of New World screwworm.
“Farming is not projected to be profitable based on today’s prices,” one participant in the survey said.
Another respondent noted that the cattle market “is still historically high,” but that ranchers’ bigger concern is screwworm. On the flip side, ranchers are enthused about the coming super El Niño weather pattern and the rain it promises to bring.
“Demand for agricultural loans continued to decline while availability of funds continued to increase in the first quarter,” the district’s release said. “The rate of loan repayment decreased, but at a significantly slower pace than the prior quarter.”
About that screwworm: Cases have risen to 20, according to USDA’s most recent data.
Since the start of this week, five new cases have been found in Texas. Terrell County has seen cases in three cattle and one goat, while Medina County has seen one.
Final word
"Our adversaries recognize the strategic value of targeting the systems that feed, fuel and sustain our country.” — Rep. Dale Strong, R-Ala., speaking at a Homeland Security Committee markup before the committee voted to advance a bill directing DHS to conduct an exercise testing agroterrorism defense systems.
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