June 19, 2007… Saint Louis, Missouri… The American Soybean Association (ASA) applauded Senators Amy Klobuchar (D-MN) and Mike Crapo (R-ID) for introducing legislation to continue and expand the national Biodiesel Education Program. The "Biodiesel Education and Expansion Act of 2007" encourages the use of biodiesel, which creates greater markets for soybeans that are used in biodiesel production.

The U.S. Department of Agriculture (USDA) administers the program that was enacted in the 2002 Farm Bill. The Klobuchar/Crapo legislation extends the Biodiesel Education Program for another five years and doubles the resources allocated for biodiesel education efforts. The USDA has provided $1 million per year to carry out biodiesel education nationwide. The Senators’ proposal would double funding for the program from the previous Farm Bill to $2 million a year.

ASA President John Hoffman, a soybean farmer from Waterloo, Iowa, said that "Soybean growers value the Biodiesel Education Program because it builds an important bridge between the farmers who grow soybeans used to make biodiesel and the people who use it. Senators Klobuchar and Crapo’s legislation will greatly help America grow its use of biodiesel."

"When it comes to renewable fuels like ethanol and biodiesel, it’s one thing for the government to give incentives to produce the fuel, but it’s another thing altogether to make sure the public knows what the fuel is, what it’s made from, and that it works in their car," said Senator Klobuchar. "That’s why I support these crucial education programs."

Senator Crapo said, "In the face of rising gasoline prices and increasing calls for energy independence, people are looking for alternatives to conventional petroleum. When I visited the University of Idaho, one of the world’s leaders in biodiesel research, to receive a briefing on the outstanding work that the staff there is doing, it was indisputable that this technology is something that our country needs. The value of the Biodiesel Education Grant Program is that is helps people understand--from seed to gas tank--the benefits of biodiesel, including production practices, standards and fuel quality, and basic economics, so that they can make educated decisions about their fuel purchases."

House Agriculture Committee Chairman Collin Peterson’s (D-MN) Farm Bill reauthorization proposal includes the Biodiesel Education Program and increases funding to $2 million per year, contingent on offset funds being identified. Senate Agriculture Committee Chairman Tom Harkin (D-IA) has indicated his support for reauthorizing the Biodiesel Education Program in the Farm Bill.

Public opinion research shows that since the program began, awareness of biodiesel has grown from 27 percent to 45 percent. Furthermore, it has helped educate the petroleum industry. More than 1,000 retailers now make biodiesel available, almost five times the number of pumps when the program began, and 37 terminals carry biodiesel. It has also supported educational efforts with the trucking industry, engine manufacturers and fuel quality outreach.

Analysis published by the USDA indicates that every 50 million gallons of biodiesel raises soybean prices one percent. Last year, the industry produced about 250 million gallons of biodiesel, most of it soy-based. The National Biodiesel Board estimates the industry is expected to produce 300 – 350 million gallons in 2007.

ASA is the policy advocate and collective voice of its 24,000 producer-members on domestic and international issues of importance to all U.S. soybean farmers.

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John Hoffman, ASA President, 319-233-9480, jhoffman@neotek.net
Bob Callanan, Communications Director, (314) 576-1770, bcallanan@soy.org
Access this release at www.SoyGrowers.com/newsroom/news.htm