North Dakota ethanol plant offering premium for corn due to drought concerns

In North Dakota, Blue Flint Ethanol near Underwood is offering a 20-cent per bushel premium for corn in light of short supplies due to the ongoing drought, a price bump that could help farmers recuperate losses resulting from the dry weather. The state’s corn production is seen down 19% on the year, while in a normal year between 40% and 60% of the crop goes towards ethanol production. Thanks to last year’s record crop, farmers carried over a lot of stock so many be able to take advantage of the price premium offered this year.