SPRINGFIELD, Ill. (KMOX) - With all the talk of how a failing corn crop will mean higher prices for a lot of goods, Executive Director of the Illinois Petroleum Council Dave Sykuta doesn’t think the drought will cause a big immediate jump in gasoline prices because of an ethanol shortage.
“We will just have to see what the long term is. I don’t see a short term gasoline price impact at this point” said Sykuta.
He says there is still a lot of corn in storage. The feds regulate how much has to be sold for fuel, and Sykuta says it remains to be seen whether the corn supply will effect futures enough to drive up prices at the pump, later.
Sykuta isn’t ready to declare the nation’s corn crop ‘dead’ but he knows that economists are already speculating. “If the corn crop is really bad all around the country, it may reignite the food verses fuel debate.” said Sykuta.