Trouble in Margaritaville: Farmers Growing Corn Instead
by Lloyd Alter, Toronto on 05.31.07
As Jeff noted, Germans are crying in their beer as farmers plant corn instead of barley; soon we won't be able to enjoy a Margarita without paying more either. Mexican farmers are burning their fields of blue agave, the main ingredient of tequila, to grow corn as US ethanol demand pushes up prices. Reuters says:
The switch to corn will contribute to an expected scarcity of agave in coming years, with officials predicting that farmers will plant between 25 percent and 35 percent less agave this year to turn the land over to corn. "Those growers are going after what pays best now," said Ismael Vicente Ramirez, head of agriculture at Mexico's Tequila Regulatory Council.
Despite rapid growth in tequila drinking, especially overseas, the over-supply of agave has driven prices for the plant to rock-bottom levels. Many growers have started to abandon the crop in favor of corn, whose price has rocketed in line with massive growth in U.S. demand for ethanol after President Bush outlined targets last year to use the corn-based fuel as a gasoline alternative. ::MSNBC and watch the video.
Thirsty for more? Check out these related articles:
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- 40 Corn Ethanol Plants Could File For Bankruptcy by Early 2009
- $5 Billion in Corn Ethanol Subsidies Should Be Eliminated, Food Before Fuel Urges
- Ethanol Industry Still Dodging Blame For Role In Global Food Crisis
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At least we'll be able to make corn whisky...
good. tequila is bad for your health anyway.
on the other hand, anything that is bad for human health is ultimately good for the rest of the global ecosystem.
Individual farmers can plant whatever they want. They do not control the economy of a country, not even here in Mexico. Reuters forgot to mention that.
There is a STRONG agave industry in Jalisco and Guanajuato, despite the agave individual farmers, and this industry members that grow their own agave (or pay very well to farmers for it) are not switching to corn by any means. Tequila, as every other alcoholic drink, is a great business.
Maybe we will see tequila to become a less expensive drink again, like it was on the early 90s before it became worldwide popular.
Tequila is not going to extinct in a while.....Individual independent Farmers may be extinct shortly.
Yair.
NO TEQUILA?! That's it. I'm now officially against biofueled cars and for electric cars. No flex-fuel GM for me, just Tesla roadsters. This energy crisis stuff has gotten out of hand. What happens next?