Citing the “negative impact” of the Renewable Fuel Standard Program on vegetable cost and availability for the food industry, the National Restaurant Association voiced its concerns on Feb. 15 to the Environmental Protection Agency about proposed biofuel volumes.
The release can be found at https://restaurant.org/research-and-media/media/press-releases/national-restaurant-association-comments-highlight-negative-impact-increasing-biofuel-volumes/
“The Association stressed the negative impact increasing biofuel volumes would have on the price and availability of vegetable oils for the food industry,” a Feb. 15 release stated.
It continued, “`The Association believes increasing biofuel volumes will have damaging effects on the supply chain, restaurants, and consumers,’” said Laura Abshire, National Restaurant Association Director of Food and Sustainability Policy. ‘We have seen similar increases in the past cause significant harms on the cost and supply of the food that restaurants’ rely on to serve millions of Americans daily in communities across the country.’”
The release noted that in 2005, “the establishment of the RFS Program diverted corn crops away from food and feed production to renewable fuels and resulted in significantly higher prices and increased market volatility. From 2021 to 2022, 40 percent of U.S. soybean production was used for biofuels –
resulting in historically high prices – and the International Energy Agency projects the use of vegetable oil for biofuel production is expected to increase 46 percent in the coming years.”
According to the National Restaurant Association, “The EPA’s current proposal puts the industry in harm’s way again by further increasing biofuel volumes in 2023 through 2025. With the need for renewable biofuels already high, the multi-year volumes proposed could further increase demand, upending the availability and price of cornerstones of the food industry, like soybean and vegetable oils.”
Abshire continued, “Restaurants are uniquely vulnerable to fluctuations in food prices as they already operate on razor-thin margins. Restaurants and consumers are already facing unprecedented inflation and this proposal would leave restaurant operators with no choice but to increase menu prices. The Agency should take this opportunity to reduce the competition between food and fuel, providing much needed relief for food manufacturers, small businesses, and consumers.”
The complete comments by Abshire and the National Restaurant Association can be found here(Opens in a new window).
