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US: Bush signs biofuel bill

The White House announced last week that President Bush had signed an energy bill calling for the use of at least 36 gallons of biofuel nationwide by 2022.

The Energy Independence and Security Act 2007 will allow for up to 15 gallons of the 36 gallons to come from corn. Ethanol from non-corn inputs will be expected to reach 3 billion gallons in 2016 and to rise to 21 billion gallons by 2022.

A requirement for use of 7.5 billion gallons of ethanol by 2012 was incorporated into energy legislation in 2005. The target is expected to be reached before then.

Opposition to the bill has been voiced by the American Meat Institute as it maintains that food prices would further increase on account of diverting more corn from animal feed to fuel.

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