RFS waiver could raise feed costs for livestock, dairy producers: new study

October 11, 2012 |

In Washington, waiving the Renewable Fuel Standard (RFS) in 2013 could actually result in higher net feeding costs for livestock and poultry producers, the Rnewable Fuels Association said following the release of a Cardno-ENTRIX report on the RFS waiver. The study found that if a waiver of the RFS did reduce biofuel output, trivial corn price reductions would be partially or fully offset by increased prices for other feed ingredients like distillers grains (DDGS) and soybean meal. ““When viewed in the context of changes in the prices for other key feed ingredients such as distillers dried grains with solubles (DDGS) and soybean meal, the change in total net feed costs for livestock, dairy and poultry feeders would either increase slightly or decrease by a negligible amount if a waiver was granted,” the report said.

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