Ethanol fuels rising corn prices in E85 in the News Posted January 14, 2007 · Report reply Regarding the rise in corn prices; While this does raise the cost of producing ethanol 35 to 40 cents it should save the Federal govt a pile of money, put life back into small rural towns, and encourage agriculture in other countries. I suspect that beef producers will either need to raise their own grains like midwest dairies always have or feed a combination of high quality forages and alternative fat (energy) rations otherwise we will get grass fed beef (yuck-though it is better for us). Swine and poultry producers also will need to modify rations a little and start raising or contracting corn themselves. For foreign exchange $ just think- the article indicated that exports of corn were equal to last year. This would be hopefully with no export subsidy to move unwanted corn and other countries are sending the US $1.00 more/bu at the same time we imported less refined gasoline and crude oil than we would have w/o ethanol. Now, let the world produce their own food- they can do it if we let grains rise enough that they can compete. Also- all this will help bring on the cellulose ethanol production which can be produced easily outside of the corn belt. The only danger to ethanol is the falling oil prices but I would be suprised if oil stays low very long.