sorghum in ethanol moving forward
TRANSCRIPT
Matt Durler- VP of Marketing Conestoga Energy Partners National Sorghum Checkoff- Renewables Committee External Member
Sustaining Agriculture in Arid Areas The Power of Protein CARB and Advanced Biofuels from Oil Top Line Impact of the Farm Bill Technology In Sorghum
Water tables in the high plains are rapidly declining- How do we stem the tide?
Production per unit of water Reduce variability and increase total long
term grain production The genetic diversity of sorghum can allow it to be better tailored for diverse production settings
Composition Study
As the industry has matured focus has been refined How can “destination” improve local feed stock
supply? How do we maximize distillers grains utility?
By Product => Co Product=> Feed Ingredient There is value in each component
Protein Fat Fiber Micros Phosphorus, Potassium
World Demand For Protein Remains Very Strong- Led by China
Spot Bean meal is trading $400, that’s 300% of CZ
$400 SM= $.46/lb of Protein The difference between 28% and 36% DDG is $67/ton!
There is 10-15% more fiber in Sorghum If Cellulosic can ever stand on its own the fiber in DG will be an
easy target We are investigating how to maximize the ethanol potential in
sorghum grain
NSP has worked with CARB to refine assumptions resulting in a net CI reduction from the previous numbers Flexibility for each plant to carve an individual pathway
Allows plants to push the sustainability of local agriculture
Oil from Sorghum based distillers should qualify for advanced bio-diesel by the end of 2015
Change in Payment Structures forces focus on sustainable production $125k max payment per entity Elimination of most direct cotton payments Some estimates calling for as much as 4 million acres
shifting away from cotton Spring price floors are critical Delta most susceptible to acreage shift followed by West
Texas Sorghum can thrive anywhere cotton can
DuPont™ Inzen™ Z herbicide-tolerance sorghum trait ALS over the top grass control- Non GMO Another tool for farmers in rotation with roundup ready
corn, cotton, and soybeans Tri-Seed Genetics-
All 3 florets make grain Dramatic increase in yield potential