Do you see lower maize and corn prices?
It is reported that there are better alternative energy can be produced by using wastage, rubber, woodchips, plastics and grass etc. There are some advantages over corn and maize based ethanol. Lower cost, distribution is convenient. Above materials easily available. Some say currently maize and corn prices have gone up due ethanol based speculation just like sugar. With new invention like above can you see lower maize and corn prices?
Answers
1130 points
sundarkambam answered 2 years ago …
Your answer is in the Extract from an article found in the link
http://news.bbc.co.uk/2/hi/science/nature/6294133.stm
"Current technologies limit production, because only certain parts of specific plants can be used.
The big hope is the so-called second-generation of biofuels, which will process the cellulose found in many plants. This should lead to far more efficient production using a much greater range of plants and plant waste. "
Once this is possible , we can of course look to cheaper food prices otherwise the day is not far off when food riots will break out in all parts of the world.
116 points
GigaBill answered 2 years ago …
Efficiency... yes that is key.
Development of and refinement of enzymes which would enable the "more complete" utilization of corp materials and plant (waste) is looming as a breakout area.
Fund research when you have the opportunity! Encourage the pursuit of knowlege in the area of sciences when talking with your children. (Yes if you have children it is usefull to take time to talk with them... not just yell at them.)
These are two actions which will hasten the needed progress.
Beware the insidious government subsidy "cure all".
(GigaBill is now stepping down from his soapbox)
I am not an economist - I am an engineer. My understanding is my understanding. My vision is not perfect.
I await others who can provide a more "academic" answer.
Respectfully,
"GigaBill" - an acolyte of "Gumshoe"
104 points
drwater answered 2 years ago …
Look into MOO and DBA
Go to www.seekingalpha.com
type in MOO & DBA and a list of articles will come up.
2775 points
Oldman answered 2 years ago …
I don't believe edible grain prices will retreat. Other soft commodities wil also increase in price:coffee, cocoa, cotton, are all in long-term uptrends. The reasons (beyond local geopolitical turmoil) are due to desertification in central Africa and the MidEast and S.E. Australia, and the S.E. U.S.
It takes more energy and fuel to produce ethanol for U.S. use than it's worth. E-85 must be mixed onsite and can't be piped through conventional oil pipelines, because it corrodes them. Biofuel conversion to Diesel is worthwhile economically, if it doesn't require transport to the user.
In Florida, the cane stalks- after crushing- fuel the sugar mills, but it isn't economical to collect al the field residue, even at these same plants ...and it's still burnt - which returns minerals to the cane fields, kills insects and rats, etc. So even U.S. big Sugar, has found a limit to the economies of scale for biofuel conversion.
