This Earth Day, an Unlikely Foe: Biofuels

Experts discuss unintended environmental and social consequences of
"food-to-fuel" mandates

WASHINGTON, April 17 /PRNewswire-USNewswire/ -- Today, three top environmental
experts addressed reporters, calling attention to the serious consequences of
Congressional food-to-fuel mandates on the environment, world hunger, and
American consumers. The experts also urged Congress to revisit these policies.

Lester Brown of the Earth Policy Institute, Ken Cook of the Environmental
Working Group, and Jonathan Lewis of the Clean Air Task Force were invited by
the Grocery Manufacturers Association to share their views on biofuels. They
argued that in the rush to find a "homegrown" solution to global warming, the
United States ignored the unintended consequences of such policies. The
biofuel boom, they explained, has led to increased environmental damage in the
form of pollution from coal-fired ethanol refineries, runoff from fertilizer
and rapid deforestation in the developing world as farmers rush to take
advantage of high commodity prices.

"Congressional biofuel mandates were meant to help reduce the carbon dioxide
emissions associated with gasoline consumption," said Jonathan Lewis of the
Clean Air Task Force. "However, recent studies show that this well-intentioned
policy has actually led to greater environmental challenges, including a net
increase in carbon emissions from deforestation."

Ken Cook of the Environmental Working Group added that food-to-fuel mandates
are also having an inflationary effect on food prices, and have the potential
to prove a major setback to organic farming.

"With over a quarter of American corn being diverted to ethanol production,
food prices have been rising at twice the pace of overall inflation," Cook
said. "At that rate, many farmers will opt out of organic agriculture, seeking
instead to maximize chemically-intensive conventional production. And after
decades of encouraging growth, we will see a contraction in the organic
agriculture industry."

Cook noted that with tightening supplies for organic grains, the organic dairy
and poultry industries would be particularly vulnerable.

"We are importing more of our organic grain and soybeans from China," said
Cook.

Recent Producer Price Index data shows that the price of "intermediate goods"
used in food production and for animal feed have increased at a seasonally
adjusted annual rate of almost 40%. At the same time, global food prices have
increased by 57% over the past year, leading to hunger strikes and violence
around the world. World Bank President Robert Zoellick recently called on all
the world's rich nations to act immediately in order to avoid widespread
unrest and conflict.

The three experts argued that a "flying-blind" approach to U.S. biofuel policy
has played a role in recent global strife.

"This Earth Day, it is imperative that we examine the effects our so-called
environmental 'solutions' are having on vulnerable ecosystems and
populations," said Lester Brown, President of the Earth Policy Institute. "As
we are rushing to fill our fuel tanks with corn, we are affecting the global
price of food and contributing to the destruction of the forests and other
vital natural systems we meant to protect. Misguided biofuel mandates are
actually exacerbating environmental harms and causing human suffering while
failing to truly deliver energy independence," said Brown.

The panelists also called on Congress to put added emphasis on developing
cellulosic fuels that are derived from plant-waste, switchgrass, and other
non-food stock.

Lewis noted, "The environment, American consumers, and vulnerable populations
around the world need Congress to revisit these food-to-fuel mandates
immediately. Our policies to fight climate change shouldn't make winning that
fight more difficult."

SOURCE Grocery Manufacturers Association

Debra Greenspan, +1-202-741-5573, dgreenspan@gloverparkgroup.com, for Grocery
Manufacturers Association