Last month, ag organizations sent a letter to Treasury Department saying that the 45Z tax credit should prioritize biofuels from domestically produced feedstocks, supporting American agriculture. Current guidelines don't mandate that, and most stocks come from imported cooking oil. In the letter, organizations say that the credits could turn into manufacturing, not manufacturing and production. Practical guidelines of the 45Z program could help American farmers if thoughtfully implemented.

Photo: photosbyjim/Getty Images

Farm Progress America is a daily look at key issues in agriculture. It is produced and presented by Mike Pearson, farm broadcaster and host of This Week in Agribusiness.