The agreement reached by the Energy Council last week to place a 7% cap on using food crops for biofuels is not ambitious enough and does not place enough emphasis on the ‘food first’ approach, says food industry association FoodDrinkEurope.
Soaring corn prices due to the expanding US ethanol market have
already driven US retail food prices up by $14 billion over
the last year, claims a study by the Iowa State University Center
for Agriculture and Rural Development.
The US food industry has urged Congress to conduct a study that
evaluates the full impact of the Administration's proposal to
expand biofuel use, in an effort to avoid any unintended
consequences for food production.