The U.S. Environmental Protection Agency (EPA) planned to lower the nation’s corn ethanol blending target in 2014 from 14.4 billion to 13 billion gallons. This would reduce the U.S. ethanol production by almost 10 percent.
Minnesota is the No. 4 largest ethanol producing state in the U.S. The proposed EPA reduction would negatively affect Minnesota’s ethanol industry as well as the state’s economy including industry output and employment.
The MDA conducted a preliminary assessment of the impact, and here are our findings:
Economic Impact of Corn Ethanol in Minnesota
As a result of the EPA proposed 1.4 billion gallon reduction in corn ethanol in 2014
Su Ye, Chief Economist