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Sweet Sorghum as Feedstock in Great Plains Corn Ethanol Plants: The Role of Biofuel Policy

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  • Perrin, Richard
  • Fulginiti, Lilyan
  • Bairagi, Subir
  • Dweikat, Ismail

Abstract

This research examines whether sweet sorghum, a crop considered more drought-tolerant and suitable for semi-arid areas than corn, could result in an economically viable sweet sorghum ethanol pathway in the Great Plains. We find that that if the D5–D6 RIN price spread exceeds the $0.35/gal recently experienced, the benefits of the pathway would be equivalent to about $90/acre of sweet sorghum, or $0.38/gal of ethanol. Because of sparse cultivation potential, only four the six existing plants in the Nebraska–Colorado High Plains area might expect transportation costs to be low enough for economic feasibility.

Suggested Citation

  • Perrin, Richard & Fulginiti, Lilyan & Bairagi, Subir & Dweikat, Ismail, 2018. "Sweet Sorghum as Feedstock in Great Plains Corn Ethanol Plants: The Role of Biofuel Policy," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 43(01), January.
    • Handle: RePEc:ags:jlaare:267608
    DOI: 10.22004/ag.econ.267608
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    References listed on IDEAS

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    1. Christopher R. Knittel & Ben S. Meiselman & James H. Stock, 2017. "The Pass-Through of RIN Prices to Wholesale and Retail Fuels under the Renewable Fuel Standard," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 4(4), pages 1081-1119.
    2. Jansen, Jim & Wilson, Roger K., 2014. "2014 Nebraska Farmland Values and Rental Rates," Cornhusker Economics 306863, University of Nebraska-Lincoln, Department of Agricultural Economics.
    3. Jansen, Jim & Wilson, Roger, 2015. "2015 Nebraska Farmland Values and Rental Rates," Cornhusker Economics 306900, University of Nebraska-Lincoln, Department of Agricultural Economics.
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