Gov. Bush calls for increase in ethanol imports from Brazil

[DoYouEverWonder]

Jun 5, 2006

CORAL GABLES, Fla. (AP) -- Gov. Jeb Bush urged lawmakers Monday to reduce the import tax on ethanol, while calling for a major increase in ethanol imports from Brazil.

By 2015 The United States should be using 15 billion gallons of ethanol annually from the current 66 million gallons, Bush said at a luncheon with Brazil's Minister of Agriculture Roberto Rodrigues, which was hosted by the Florida Free Trade Area of the Americas.

Bush said that as gas prices continue to rise, the U.S. must find ways to relieve its dependency on oil. Ethanol, derived from sugarcane, is a cheaper and environmentally friendly alternative, he said.

But before the U.S. can import larger volumes of ethanol from Brazil, lawmakers need to reduce the 54-cent import tax on the fuel, he said.

http://hosted.ap.org/dynamic/stories/F/FL_BRAZIL_ETHANOL_IMPORTS_FLOL-?SITE=FLPET&SECTION=STATE&TEMPLATE=DEFAULT


Why would we need to import ethanol from anywhere? It's not like we don't grow lots of sugar cane in FL.

[The Velveteen Ocelot]

1. What will we do about our dependency on foreign ethanol?

You can also make it out of corn. I think we grow some of that, too.

[Zynx]

3. What's wrong with trading with Brazil?

[The Velveteen Ocelot]

4. Nothing, really, except that if we are trying to avoid

dependency on foreign energy sources, why would we import ethanol from Brazil (or anywhere else) when we have plenty of sources for it here? Just doesn't make sense.

[Zynx]

6. We also must realize a larger goal of developing Latin America

economically, something we have done very poorly, even somewhat intentionally avoided. A wealthier Brazil through our money for their ethanol means a healthy Brazilian market for our goods.

Brazil is largely politically friendly and has been so for a long time. Trading with Brazil is no more risky than trading with Spain or Belgium.

[The Velveteen Ocelot]

10. We have plenty of farmers here who could produce corn for ethanol.

I'm all for giving the work and the money to American farmers. Anyhow, if Jeb Bush is for it, it's probably a bad idea.

[Zynx]

11. That sounds like protectionist garbage to me.

[melnjones]

14. We do need to

legitimately look at the health of Brazil's ecosystem, and our own...can't we use both?

[The Velveteen Ocelot]

15. Why is it "garbage" to support American farmers?

I appreciate that trade with other countries is useful and necessary, but I hate to see us buying foreign products that could have been produced by American workers. Our standard of living is going to hell in a handbasket and the trade imbalance is horrendous.

[Zynx]

16. The same arguments have been used for tariffs for hundreds of years.

The idea that we protect workers by raising prices is a false one. It works in some select(and I must emphasize select) circumstances, but the tariffs against foreign sugar are at the level that they are punitive. We will need Brazilian imports so that prices for sugar and corn don't go nuts in this country in the event that we continue to ramp up ethanol production.

[Phx_Dem]

33. we protect workers..

by engaging in FAIR TRADE. You have heard of that right?

[Zynx]

36. Fair trade does not mean tariffs.

We have a punitive tariff on Brazilian sugar that is exceptionally massive.

[anotherdrew]

22. countries should be self sufficient as much as possible. tradist bullshit

how can you doubt that we MUST become self sufficient as much as possible at the most local possible scale?

[Zynx]

24. You don't believe in international trade at all?

Do you know that the US economy would never have developed without foreign trade and investment?

[anotherdrew]

31. only luxury non-essentials and items that can not be made locally n/t

[Phx_Dem]

32. "protectionist garbage"?????

Seriously dude, what the hell are you doing on DU?

[Zynx]

35. Excuse me? Since when are protective tariffs a liberal issue?

[Phx_Dem]

37. Howard Dean seems to think they are..

and so do I. IMO one of the biggest but most neglected issues facing the US is how to deal with trade. It's simply ridiculous that the US trades openly with countries that have shamefully low wages and no workplace safety.

In the long term, free trade will push down US wages until the middle class is destroyed. There is absolutely no reason why imported goods from counties like China shouldn't be taxed to compensate for the inequalities of the respective workforces.

[Zynx]

43. What exactly do you know about Brazilian labor markets?

Brazil is not China. They have labor unions that represent them very well, unlike China. Brazil is raising its minimum wage by 17% this year, unlike China. The government is accountable to the will of the people, unlike China.

[Phx_Dem]

44. you made a blanket stmt that I responded to..

I think wage improvements in Brazil show that they are heading in the right direction, but they have a long way to go before Brazil's' labor market is comparable to our own.

"The average monthly wage in Brazil’s six largest cities was approximately 905 Reals (approximately $332) in November 2004, and the minimum monthly wage was raised from 240 Reals ($80) to 260 Reals ($87) in April 2004. These averages gloss over some stark wage inequalities, as the wealthiest 50% of the Brazilian population earn nearly 90 percent of the total income."

http://www.state.gov/e/eb/ifd/2005/41988.htm

[Zynx]

45. The United States has dramatic wage inequalities as well.

So are we supposed to simply do away with trade with any country that has significantly lower income than us? How exactly will the third world develop without exporting to US markets? While sugar and corn revenue to our economy is simply insignificant, to Brazil it is a big deal and could help to jump start their economy in turn they will buy our construction equipment and use our financial services industry which is the most advanced in the world. No economist worth their salt would tell you that our massive 250% sugar tariff on Brazil makes any sense.

[Phx_Dem]

46. Honestly I don't know enough about the sugar situation..

to offer an informed opinion. What I was referring to though is that it's not in the US's best interest to trade freely with a country (to use Brazil as an example) that has a minimum wage of $87 a month. I'm not suggesting that we not trade with Brazil, just that we do it in an equitable manner. In time this will encourage other counties to improve worker compensation, as opposed to right now where there is no incentive whatsoever to improve wages.

Wage inequalities is a whole different issue, I agree that it's a major concern in the US.

[Zynx]

47. Considering how low costs of living are in Brazil, it would be irrational

for us to impose our wage standards on them. A "good" income in Brazil is $7,000 a year for a college educated person.

[Phx_Dem]

48. well there would have to be some sort of comparison made

I realize that cost of living is very different from county to country, in fact I suspect that the COL in the US is a little too high. I don't know what a good minimum wage would be in Brazil, but my overall point is that in order for trade to benefit both parties it must occur on a level playing field. Barring anything approaching that, I think it's necessary to use tariffs to offset the differentials in economic systems.

[eowyn_of_rohan]

49. totally agree with you

American corn for American ethanol. They've outsourced everything else practically... And yes, if the bu$h family wants Brazilian ethanol they would undoubtedly derive a personal benefit from it.

[anotherdrew]

21. we don't have any goods n/t

[Zynx]

23. That's nonsense. We don't produce small products, but we do produce

large ones. Caterpillar, Emerson Electric, GE, etc produce plenty.

[Zynx]

2. Brazilian ethanol is a lot cheaper.

Brazil's sugar output is quite simply bizarre. It's stupid that we have that tariff on it.

[Sufi Marmot]

5. Um....

So, like, how does increased Brazilian sugar cane production affect the rate of deforestation the Brazilian rainforest? I agree with the OP - can't we make our own ethanol from American agriculture? Aren't we paying farmers subsidies not to grow crops?

-SM

[melnjones]

8. I'm not necessarily against importing from Brazil...

if it's done in ways that are not damaging to Brazil's land. I will say too that growing corn, in my understanding, is pretty tough on farmland. My vote is for the diesel/vegetable oil route:-)

[Sufi Marmot]

13. Well that's the point...

...increased demand for Brazilian ethanol will raise prices and encourage more Brazilians to slash and burn the rainforest. At least here in America our farmers would practice crop rotation on land which hasn't been forested for decades. And yeah, industrial hemp would help us out too.

-SM, wondering how much of the extra income Brazil gets from increased ethanol sales to the US would acutally be used to buy American goods, rather than cheap Chinese crap...

[DoYouEverWonder]

9. Besides, if they legalized industrial hemp

we would have enough ethanol for ourselves and plenty left over to share and we wouldn't have to destroy entire ecosystems in the process.

[melnjones]

12. amen. nt.

[Ragin_mad]

34. Hemp contains very little sugar to make ethanol with

The hemp plant has a 2 % sugar content, while corn ranges from 5% to 11% sugar. You must have sugar for the yeast to make ethanol.

[Commie Pinko Dirtbag]

26. Different areas entirely. -nt

[dapper]

7. To make Papa Happy?

Doesn't B* Senior have stock in Ethenol companies?

Dap

[WinkyDink]

17. Bush cronies must be the ones who OWN that cheap Brazilian land.

Let's face it; it's not the ENVIRONMENT that any Bush cares about; it's $$$$$$$$$.

[Acadia Blue]

18. You are probably right. They only do things if their filthy pockets get

padded with money taken from the poor. Everyting they do is bad, wrong, illegal, unethical, uncompassionate, unempathetic, and just mean.

[DoYouEverWonder]

20. I'm sure they would love to cut down more Amazon Rainforest

to grow more sugar cane. Such a great crop for the environment. :sarcasm:

How come none of these geniuses talk about using industrial hemp instead?

[Massacure]

19. Gov. Bush calls for increase in slashing and burn of the rain forests.

Oops, thats the part your not supposed to know about...

[demo dutch]

25. This idiot is way too much in the news lately with latest brilliant plans!

[DoYouEverWonder]

28. You noticed

He just getting his face out there to run for President.

[demo dutch]

40. Don't even mention that one. That day will really make me sick!!

Take it from a Floridian! he's more dangerous then big brother GW,

[ny_liberal]

27. There are not enough ethanol stations in the country

How do they plan to sell the imported ethanol?

[DoYouEverWonder]

29. It shouldn't be too hard to add pumps

especially if there is a demand.

[Phx_Dem]

39. It could be a blend..

so you would not need separate pumps. Personally I don't think ethanol is a good solution, too many problems with conversion, the environment etc.

[Miss Chybil]

30. American Citizen Says US Should Grow Own Fuel. nt

[Phx_Dem]

38. If every cob of corn grown in the US..

was used for ethanol production we would replace about 13% of the gasoline used for transportation. Additionally, you need a heat source to make ethanol, so you end up using oil, gas or coal anyway.

[Miss Chybil]

41. Ok. So never mind.

We can just keep blowing people up. No need to try something new.

[Phx_Dem]

42. sorry, I guess I don't understand your post nt