UNICA Urges Congress to End Ethanol Tariff

“As the dust settled on a midterm election that significantly altered the political landscape, voters sent a clear message that cutting the deficit and ending wasteful government spending should be top priorities for Congress. Americans will be watching closely to see if lawmakers got the message. Eliminating ethanol subsidies and trade protection would be a good way to indicate that they did,” writes Joel Velasco, UNICA Chief Representative of North America in response the the Mid-Term Election results that took place across the U.S. on November 2, 2010.

Similar to two years ago when President Obama was elected, Americans asked for change. Only this time, its wasn’t Democrats they were asking to help make it. Republicans made a strong gain in this election with their promises of balancing the budget, cutting wasteful spending, fixing the economy, and creating jobs.

Along these same lines, UNICA has been heavily campaigning in recent months to end the ethanol tariff and open up the marketplace for ethanol. They argue that this will help save Americans money at the pump, create greater diversity, and provide access to cleaner alternatives like sugarcane ethanol.

Velasco continued in his blog post, “Democrats and Republicans have vowed to work together on this issue, hinting that the days of $6 billion per year in ethanol tax credits could be over when they expire on December 31. Senator Saxby Chambliss (R-GA), the top Republican on the Senate Agriculture Committee told Bloomberg News that “[t]here are folks who ideologically don’t want to see the tax credit,” noting that the election results were sure to strengthen that viewpoint.”

The U.S. corn ethanol industry may be getting the message on competition and the need to remove trade barriers on cleaner, more affordable energy,” writes Velasco. “During a conference call with reporters this morning, the president of the Renewable Fuels Association [Bob Dinneen] reiterated his support for setting the ethanol tax credit and import tariff at the same amount – a concept industry insiders refer to as “parity”.

Velasco concluded, “The next several weeks will be an important litmus test in determining whether or not Congress has truly heard the American people. Tough decisions will be need to be made to cut the deficit and restore fiscal responsibility and bipartisanship to Washington. Ethanol policy is a good place to start.”

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0 responses to “UNICA Urges Congress to End Ethanol Tariff”

  1. Caribbean Basin Initiative, Mr. Velasco. You can check this out now, and start sending ethanol tariff free today.

  2. Why yes, let’s just destroy our own industry in order to support Slave Labor in Brazil.

    You’re a doofus for linking this clown. Didn’t API have any nice articles you could gush over today?

  3. OK so we subsidize ethanol production = Tax
    Creating higher food costs = Tax
    Suffer from a 10% decrease in gas mileage = TAX

    I guess this is what it feels like to take a bottle of crazy pills.

  4. Kim, kill the tariffs. Its time for you clowns to compete (and not cost the taxpayer and contribute to our deficit). Corn-based ethanol is simply not efficient and would not survive without these BS subsidies and tariffs which end up costing all of us money.

    Bring on the Brazilians. They’re more efficient and actually have a solid business model that’s PROFITABLE. They’re also capital intensive/mechanized Kim so they don’t rely on Slave Labor.

    Scott, thanks for handing out that dose of logic. End the handouts!!!