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Agriculture's Supply and Demand for Energy and Energy Products

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  • Beckman, Jayson F.
  • Borchers, Allison
  • Jones, Carol

Abstract

Rising energy prices and changing energy and environmental policies have transformed the relationship between the energy and agriculture sectors. Traditionally, the relationship has been one-way, with agriculture using energy products as an input in production; during the past decade, however, the energy sector’s use of agricultural products as renewable-fuel feedstocks has increased substantially. This report examines both sector and farm-level responses to changing market and policy drivers such as the increased production of biofuel crops and other sources of renewable energy, together with changes in production practices to economize on energy-based inputs like fertilizer. We provide insight into how farmers have adapted to the changes and update and provide new data on the evolving linkages between the energy and agricultural sectors.

Suggested Citation

  • Beckman, Jayson F. & Borchers, Allison & Jones, Carol, 2013. "Agriculture's Supply and Demand for Energy and Energy Products," Economic Information Bulletin 149033, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uersib:149033
    DOI: 10.22004/ag.econ.149033
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    References listed on IDEAS

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    Cited by:

    1. Aye, Goodness C. & Odhiambo, Nicholas M., 2021. "Oil prices and agricultural growth in South Africa: A threshold analysis," Resources Policy, Elsevier, vol. 73(C).
    2. Sohail Amjed & Iqtidar Ali Shah & Adnan Riaz, 2022. "Investigating the Interactive Role of Demand Side Factors Potentially Responsible for Energy Crisis in Pakistan," International Journal of Energy Economics and Policy, International Journal of Energy Economics and Policy, vol. 12(3), pages 236-246, May.
    3. Han, Hongyun & Zhou, Zinan, 2024. "The rebound effect of energy consumption and its determinants in China's agricultural production," Energy, Elsevier, vol. 290(C).
    4. Tiffany L. Fess & Vagner A. Benedito, 2018. "Organic versus Conventional Cropping Sustainability: A Comparative System Analysis," Sustainability, MDPI, vol. 10(1), pages 1-42, January.
    5. Barbaglia, Luca & Croux, Christophe & Wilms, Ines, 2020. "Volatility spillovers in commodity markets: A large t-vector autoregressive approach," Energy Economics, Elsevier, vol. 85(C).
    6. Hoffman, Eric & Cavigelli, Michel A. & Camargo, Gustavo & Ryan, Matthew & Ackroyd, Victoria J. & Richard, Tom L. & Mirsky, Steven, 2018. "Energy use and greenhouse gas emissions in organic and conventional grain crop production: Accounting for nutrient inflows," Agricultural Systems, Elsevier, vol. 162(C), pages 89-96.
    7. Paudel, Jayash & Crago, Christine L., "undated". "Fertilizer Use and Water Quality in the United States," 2018 Annual Meeting, August 5-7, Washington, D.C. 274312, Agricultural and Applied Economics Association.
    8. Jeremy G. Weber & Nigel Key & Erik O’Donoghue, 2016. "Does Federal Crop Insurance Make Environmental Externalities from Agriculture Worse?," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 3(3), pages 707-742.
    9. Suh, Dong Hee, 2015. "Identifying Factor Substitution and Energy Intensity in the U.S. Agricultural Sector," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205264, Agricultural and Applied Economics Association.
    10. Beckman, Jayson & Riche, Stephanie, 2015. "Changes To The Natural Gas, Corn, And Fertilizer Price Relationships From The Biofuels Era," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 47(4), pages 494-509, November.
    11. Kuralbayeva, Karlygash, 2018. "Unemployment, rural-urban migration and environmental regulation," LSE Research Online Documents on Economics 76561, London School of Economics and Political Science, LSE Library.
    12. Sanyal, Prabuddha & Malczynski, Leonard A. & Kaplan, Paul, 2015. "Impact of Energy Price Variability on Global Fertilizer Price: Application of Alternative Volatility Models," Sustainable Agriculture Research, Canadian Center of Science and Education, vol. 4(4).
    13. GianCarlo Moschini & Harvey Lapan & Hyunseok Kim, 2017. "The Renewable Fuel Standard in Competitive Equilibrium: Market and Welfare Effects," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 99(5), pages 1117-1142.
    14. Jayash Paudel & Christine L. Crago, 2021. "Environmental Externalities from Agriculture: Evidence from Water Quality in the United States," American Journal of Agricultural Economics, John Wiley & Sons, vol. 103(1), pages 185-210, January.
    15. Christopher Shultz & Randall W. Jackson, 2014. "Water Valuation Research - Annotated Bibliography," Working Papers Resource Document 2014-01, Regional Research Institute, West Virginia University, revised 15 Jan 2015.
    16. Arkaitz Usubiaga‐Liaño & Paul Behrens & Vassilis Daioglou, 2020. "Energy use in the global food system," Journal of Industrial Ecology, Yale University, vol. 24(4), pages 830-840, August.
    17. Watkins, K. Bradley & Henry, Christopher G. & Mazzanti, Ralph & Schmidt, Lance & Hardke, Jarrod T., 2014. "Non-Radial Technical Efficiency of Water and Nitrogen Usage in Arkansas Rice Production," 2014 Annual Meeting, February 1-4, 2014, Dallas, Texas 162593, Southern Agricultural Economics Association.
    18. Nigatu, Getachew & Hjort, Kim & Hansen, James & Somwaru, Agapi, 2014. "The Impacts of Energy Prices on Global Agricultural Commodity Supply," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 169953, Agricultural and Applied Economics Association.
    19. Paris, Bas & Vandorou, Foteini & Balafoutis, Athanasios T. & Vaiopoulos, Konstantinos & Kyriakarakos, George & Manolakos, Dimitris & Papadakis, George, 2022. "Energy use in open-field agriculture in the EU: A critical review recommending energy efficiency measures and renewable energy sources adoption," Renewable and Sustainable Energy Reviews, Elsevier, vol. 158(C).
    20. Dong Hee Suh, 2015. "Declining Energy Intensity in the U.S. Agricultural Sector: Implications for Factor Substitution and Technological Change," Sustainability, MDPI, vol. 7(10), pages 1-14, September.
    21. Clark Lundberg & Tristan Skolrud & Bahram Adrangi & Arjun Chatrath, 2021. "Oil Price Pass through to Agricultural Commodities†," American Journal of Agricultural Economics, John Wiley & Sons, vol. 103(2), pages 721-742, March.
    22. Luciano Gutierrez & Guillaume Pierre & Maria Sabbagh, 2022. "Agricultural Grain Markets in the COVID-19 Crisis, Insights from a GVAR Model," Sustainability, MDPI, vol. 14(16), pages 1-13, August.

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