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Private oil enterprise organizations call for the suspension of domestic corn to ethanol gasoline project

the Beijing Times reported on August 10 that Zhao Youshan, chairman of the petroleum circulation Committee of the China Federation of Commerce (hereinafter referred to as the petroleum Commission), the largest member organization of private oil enterprises in China, revealed yesterday that the petroleum Commission had written to the national development and Reform Commission, calling for the immediate suspension of domestic corn to ethanol gasoline project

it is understood that the reason why the petroleum Commission submitted the above suggestions is that in the process of automobile use, "cars compete for corn with the people", which led to the first net import of corn in China in the first half of this year, and promoted the rise of corn prices, while the output of corn ethanol gasoline is insignificant compared with the domestic demand for 2. Regular inspection of knife screw gasoline. According to the petroleum Commission, the agency found in market research this year that some domestic ethanol processing plants used corn to process ethanol gasoline for vehicles in order to enjoy the state subsidy and tax exemption policy of 1880 yuan per ton, and snapped up the newly listed corn, resulting in a serious shortage of feed corn needed by the breeding industry, and the price increased significantly. According to the investigation of the petroleum Commission, China still has a manufacturing capacity of 10million tons of ethanol gasoline. Based on the industrial production level of 1 ton of ethanol gasoline per 3 tons of corn, 30million tons of corn raw materials are required every year

it is noteworthy that in the first half of this year, China changed from a net exporter of corn to a net importer of corn for the first time. According to Zhang Jianbo, an analyst of the corn industry at the China circulation Productivity Promotion Center, China's net import of corn in the first half of the year was 78 million tons. The fundamental reason for this situation is that the domestic corn price is relatively high compared with overseas. In July, the average ex warehouse price of corn in Northeast China was 1845 yuan/ton, up 15% year-on-year if necessary 7%。

it is reported that in order to promote the development of renewable energy and new energy, the national development and Reform Commission, the Ministry of Finance and other relevant ministries and commissions jointly issued policies in 2004 to promote the pilot project of corn processing vehicle ethanol gasoline in Heilongjiang Province and other provinces and regions. For each ton of vehicle ethanol produced, 1880 yuan of state subsidies can be obtained, and all taxes can be reduced or exempted. However, after that, with the reduction of aged grain in China, the state clearly required that all regions should not blindly develop corn processing ethanol production capacity

however, according to Zhao Youshan, the investigation of the petroleum Commission found that under the temptation of high national subsidies, some alcohol factories in Heilongjiang and other places have started to use corn to produce ethanol gasoline for vehicles, and a large number of corn have been snapped up. Since the breeding industry has no national subsidy policy, it cannot bear the soaring feed material industry, which is the basic corn price of the whole industrial system, resulting in a shortage of agricultural and sideline products in the market and rising prices. Zhao Youshan said that the petroleum Commission had reflected this situation to the national development and Reform Commission, called on the government to stop the corn ethanol gasoline project, and suggested that the relevant subsidies be tilted to the project of using cassava, wheat straw and other raw materials to process ethanol, which could not only promote the technological development of bio gasoline, but also solve the problem of cars competing for food with the people, "Our letter has received the attention and instructions of the leaders of the State Council, and the national development and Reform Commission is currently studying it."

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