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Homegrown, Renewable Fuels provide Energy Independence

Biodiesel and ethanol, two energy sources made from soybeans and corn, respectively, are homegrown and locally produced. For Renewable Fuels Month in September, Nebraska farmers celebrate these homegrown crops and their abundant number of renewable uses.

In Nebraska last year, farmers raised 252 million bushels of soybeans and 1.6 billion bushels of corn. And that number is growing. From these two crops, fuel sources, livestock feed and thousands of food products are created – right here in Nebraska, as well as across the U.S.

Homegrown, renewable fuels contribute to our energy independence and security. Over 1,500 are employed in rural Nebraska because of renewable fuels. Nationwide, more than 850,000 jobs are supported by renewable fuels, according to an economic impact study by John Dunham & Associates recently released by the Fuels America coalition.

The Dunham & Associates report tells the story of an innovative, advanced renewable fuels and biofuels industry that is producing growing benefits for America’s economy. Part of the effort in contributing towards an expanded biofuels industry is the Renewable Fuel Standard (RFS). “The data is in: The RFS is driving billions of dollars of economic activity across America,” the report concludes. “This is the result of years of investment by the biofuel sector to bring clean, low carbon renewable fuels to market.”

Renewable fuels represent nearly 10% of America’s fuel supply and have helped reduce U.S. reliance on foreign oil to the lowest level in years.

In 2007, the RFS program was expanded to include biodiesel, increased the amount of fuel required to be blended into transportation fuel to 36 billion gallons in 2022, created new categories of renewable fuels including advanced, cellulosic, and conventional and evaluated the lifecycle of greenhouse gases to ensure each category was meeting a minimum threshold.

The RFS is doing exactly what it was intended to do. “In 2013, we reduced our imported crude oil by 462 million barrels and 1.1 billion gallons of imported petroleum diesel,” said David Merrell, corn farmer and District 7 director for the Nebraska Corn Board. “Each year we are producing more renewable fuels in the United States. They are supporting the local farmer and provide as much as $3 million in tax revenue for Nebraska.”

The RFS is reducing our dependency on imported oil, providing a homegrown, locally produced renewable fuel, creating jobs, providing tax revenue, and more. Renewable fuels are a win-win situation for the farmers, rural communities, and consumers.

Merrell added, “With the diversity of products we can make from these two crops, Nebraska consumers should feel great about using renewable products, like ethanol and biodiesel that come from a homegrown crop grown each year across the state.”

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2025 USDA December Crop Report a “Dud” + Trump $12 Billion U.S. Farm Aid

Video: 2025 USDA December Crop Report a “Dud” + Trump $12 Billion U.S. Farm Aid


The USDA December crop report was friendly corn, neutral soybeans and bearish wheat. The USDA did surprise and increase the 25/26 U.S. corn export forecast to a new record high at 3.2 billion bushels now up 12% vs. last year vs. prior at +9% vs. the export pace to date up 30% the best in 10 years even higher than 20/21! The USDA left the 25/26 U.S. soybean export pace unchanged at 1.635 billion bushels. Higher global wheat supplies will remain a weight and headwind for wheat into year end and start of 2026.
Mexico is now the #1 buyer of U.S. corn, soybeans (usually China), wheat and pork!
USDA also released its long-term early projections but expect more changes by February of 2026.
Trump announces a $12 billion U.S. farmer aid package to be paid out by February 28, 2026. This helps no one but the ag banks, farm equipment companies, seed and fertilizer companies. It does prevent more farmer bushels from being sold near-term but is not bullish grain prices long-term. The Trump administration should focus on increasing U.S. domestic demand and propping up grain futures so farmers can cover their higher costs, up since COVID of 2020.
The China U.S. soybean purchase tracker now stands at 4.521 mmt or 38% of the 12 mmt promised by China at year end or is it end of February or the growing season? Why the discrepancy vs. the fact sheet. The optics are poor for the Trump administration.
After surging to contract highs U.S. natural gas futures plunged over 30+% in just 5-trading days!
Silver traded to new record highs as the debasement and de dollarization trade continued but technicals remain overbought near-term.
Soybean futures remained in correction mode after the funds went record long futures on Nov. 19 +233,000 contracts but the $10.80 support should hold into year end when the fund profit taking/liquidation comes to an end from the year end, end of month and end of quarter selling.
The U.S. Fed cut interest rates for the 3rd time by 25 basis points to a range of 3.50 – 3.75% and they will only cut one more time in 2026 and once in 20267/ but when Powell is gone next April the replacement is willing to cut more aggressively and we could see U.S. interest rates fall to 2.0% very bullish for ag and stocks as it could reignite inflation into 2027.
After 2 months of being drier than normal in Brazil the rains have finally arrived for the 1st half of December, and a record crop is still in the cards but if this pattern continues and verifies it could start to delay the harvest. Argentina after being too wet has turned dry but they are too small, compared top Brazil in the grand picture.
The Canadian dollar surged to $0.73 after better-than-expected employment data with 180,000 new jobs in the past 3-months and 3rd quarter GDP at +2.6% but this could be short-lived.
The latest CFTC report as of 11-19-2025 reported a record long fund position in soybeans at +233,000 contracts when 2026 March soybean futures peaked on 11-19-25 at $11.724/bu.