U.S. biofuels industry asks for USDA funds to survive decreased demand from coronavirus

In Washington, D.C., Reuters reports that a letter addressed to Agriculture Secretary Sonny Perdue from representatives in the biofuels industry asked the Trump administration for funds to help survive the decreased demand prompted by the coronavirus pandemic.

The letter asks for funds from the U.S. Department of Agriculture’s Commodity Credit Corporation to help the biofuels industry deal with the decreased fuel demand.

“The letter, signed by representatives of the nation’s top biofuel trade groups including the Renewable Fuels Association, said that “collapsing demand” for fuel during the outbreak had idled some 3.5 billion gallons of annualized ethanol output at a quarter of the nation’s production facilities,” according to Reuters. “The biofuels industry has been hit especially hard by the sharp decline in fuel demand across the country, as residents follow local, state, and federal guidance to practice social distancing and minimize travel,” it said. “With these realities in mind, we ask that USDA use its CCC authority to directly assist biofuel producers,” it said.