Farm Progress

Corn growers ratify a strategy for increasing demand

Corn growers push to increase ethanol demand, explore new uses, increase livestock exports and improve transportation infrastructure.

March 21, 2016

2 Min Read

National Corn Growers Association finalized a new strategic plan March 5 to focus on four major strategic priorities that reflect the concerns heard through listening to farmers and key stakeholders. Increasing the demand for corn is No. 1.

“Most corn farmers are well past the point of prices being below the cost of production, and prices have been there for some time now,” said NCGA President Chip Bowling. “Facing this dramatic income drop, farmers have begun tightening their belts. We are already seeing the ripple effects of this on rural communities. Implement dealers are selling less equipment. Manufacturers are scaling back production. Agribusinesses have laid off employees.”

For NCGA, this means a particular focus on increasing ethanol demand, exploring new uses, increasing livestock exports and pushing for transportation infrastructure that can more efficiently move corn and corn products to market. The target goal within the new plan is competitive market demand for 19 billion bushels of corn by 2025.

Other objectives of the goal include:

  1. By 2020, increase ethanol utilization by 4 billion gallons.

  2. Partnering with industry, establish at least three new uses, each utilizing 25 million bushels by 2020.

  3. Increase demand of corn-based food ingredients by at least 50 million bushels by 2020.

  4. Collaborating with livestock organizations, work to increase livestock exports 40% by 2020.

  5. Collaborate with the ethanol industry, animal and plant scientists and the livestock industry to improve the nutrient composition of corn and corn products.

  6. Foster public and private investments that enhance our rail, waterway, and highway transportation systems to accommodate 2.5 billion bushels of whole corn export, 15 MMT of DDG exports and 3 billion gallons of ethanol exports.

  7. Work with U.S Grains Council and other value chain stakeholders to increase exports of corn and corn products by 25% by 2020.

“Our growers know what’s at stake,” Bowling said. “They’ve worked hard to bring in the three largest crops ever over the past three years, and now we have the opportunity to lead in building demand, enhancing trust, and improving sustainability.”

The other goals for 2016 include:

  • Strengthen Customer and Consumer Trust.

  • Enhance Productivity & Environmental Sustainability.

  • Strive for Organizational Excellence.

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