US ethanol industry bracing for worst conditions since 2007-08?

In New York, a Reuters report, based on the latest ethanol production numbers, advises that “The ethanol industry is bracing for its worst spell since the bankruptcy-ridden days of 2007 and 2008,” after US ethanol production dropped to its lowest levels in 10 months. US blend wall issues, corn prices, and falling corn stocks in the face of a persistent hot, dry spell in the US Midwest are among the causes of concern.

US ethanol production fell to 857,000 barrels per day as three ethanol plant shutdowns affected production results. Meanwhile, a Linn Group analyst told Reuters that ethanol margins are 20 cents below the minimum viability point.