Schumer blames spike in milk prices on ethanol demand

By: The Associated Press

Sunday, January 13, 2008 2:43 PM EST

Sen. Charles Schumer said Sunday that rising demand for the corn-based fuel additive ethanol is contributing to a spike in milk prices and called for lifting the 54-cent-per-gallon tariff on ethanol imports.
Schumer, D-N.Y., said rising milk prices have been caused by, among other factors, a nationwide increase in demand for ethanol. The same corn used for ethanol is used in animal feed.

He called for the immediate lifting of the tariff on foreign ethanol imports to increase the supply of the federally mandated fuel additive, reduce pressure on the corn market, and bring down milk prices.

"Reducing the pressure on the corn market is a quick, commonsense, way to bring down milk prices across the board without hurting our region's dairy farmers," Schumer said. "No family should every have to do without milk but unfortunately, many families are now being forced to make that terrible choice."

According to the Consumer Price Index, the cost of dairy and related products rose 14 percent nationally between November 2006 and November 2007, the most recent figures available.

Speaking in front of a Manhattan supermarket, Schumer said the price of milk increased 35 percent in New York City between January 2006 and January 2007.

In Manhattan, for example, he said the average price of a gallon of milk is now $4.52, up from $3.52 a year ago.

Schumer said his plan would not hurt Northeastern dairy farmers because lifting the ethanol tariff would reduce their costs.

The Citizens' Say

Post your comment - click here

There are 1 comment(s)

deckel77 wrote on Jan 14, 2008 10:47 AM:

" It's too bad he has no idea how the ag markets work. The dairy market needs the higher milk prices more then it needs lower corn prices. They grow most of their own feed in the northeast and don't buy it in like farms out west, so let them enjoy high milk prices for once. "

REGISTRATION IS FREE.
Registered users sign in here:
*Member ID:
*Password:
Remember login?
(requires cookies)
 
Unregistered users can register here:

Do not use usernames or passwords from your financial accounts!

Note: Fields marked with an asterisk (*) are required!

*Create a Member ID:
*Choose a password:
*Re-enter password:
*E-mail Address:
*Year of Birth:
 

(children under 13 cannot register)

First Name:
Last Name:
Company:
Home Phone:
Business Phone:
Address:
City:
State:
Zip Code:
 
E-Citizen
E-Edition
Wheels Etc.
Find a vehicle
Hot Jobs
Find a Job
Homes Etc.
Find a Home
TV Week
Find a program
Search Classifieds
Find, Buy
Place a Classified Ad
Sell
Skaneateles Journal
The Journal
New! Best Bridal
Here comes the bride. . .
Liven Up the Holidays
Fa-la-la-la-la-la-la-laaaaaa
Logo HereNew! Off the Menu
Good Eatin'!
Newspaper Ads
See it again
CNY Boats Etc.
Achors aweigh!
Sections
Special Sections

Top Jobs

The Citizen Copyright ©2009
A division of Lee Publications, Inc.
25 Dill Street
Auburn, NY 13021

Contact Us

Add to My Yahoo!