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Potential Corn Acreage Expansion For Ethanol Production: Western North Dakota

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  • Gustafson, Cole R.

Abstract

Several recent developments have stimulated farmers' interest in raising corn for ethanol production in northwestern North Dakota. The purpose of this study is to estimate the corn supply response of western North Dakota farmers for ethanol production. Two focus groups of western North Dakota farmers (Williston and Minot) were organized. The market premium over prevailing local corn prices that was required by western North Dakota farms to entice additional production of an ethanol specific hybrid was determined. Aggregation of these farm responses yielded a supply function of corn for the region. Results show that sufficient corn can be produced in the surrounding region to support a 12 million gallon ethanol facility if modest price premiums are provided. The availability of short-season hybrids adapted specifically to the region may constrain expansion.

Suggested Citation

  • Gustafson, Cole R., 2002. "Potential Corn Acreage Expansion For Ethanol Production: Western North Dakota," Agribusiness & Applied Economics Report 23593, North Dakota State University, Department of Agribusiness and Applied Economics.
    • Handle: RePEc:ags:nddaae:23593
    DOI: 10.22004/ag.econ.23593
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    Cited by:

    1. Paul Gallagher & Hosein Shapouri & Heather Brubaker, 2007. "Scale, Organization, and Profitability of Ethanol Processing," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 55(1), pages 63-81, March.
    2. Park, Hwanil & Fortenbery, T. Randall, 2007. "The Effect of Ethanol Production on the U.S. National Corn Price," 2007 Conference, April 16-17, 2007, Chicago, Illinois 37565, NCCC-134 Conference on Applied Commodity Price Analysis, Forecasting, and Market Risk Management.
    3. Gallagher, Paul & Shapouri, Hosein & Brubaker, Heather, 2007. "Scale, Organization, and Profitability of Ethanol Processing," ISU General Staff Papers 200703010800001439, Iowa State University, Department of Economics.
    4. Andrian, Leandro Gaston, 2010. "Essays on energy economics: Microeconomic and macroeconomic dimensions," ISU General Staff Papers 201001010800002725, Iowa State University, Department of Economics.

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