Corn Growers Making Headway in Alternative Energy Ken McCauley National Corn Growers Association President October 2, 2006

Ken McCauley, NCGA President Farms 3,500 acres corn & soybeans with his wife Mary and son Brad Leadership positions: NCGA Corn Board Member NCGA Ethanol Committee vice chair NCGA Research and Development Action Team NCGA Finance Committee Corn Board Liaison to the Biotechnology Working Group Kansas Corn Commission

About NCGA Federation of grower associations and checkoff organizations in 26 states Membership of nearly 33,000 dues-paying farmers Represent nearly 300,000 farmers who contribute to state corn checkoff

NCGA’s Mission “To Create and Increase Opportunities for Corn Growers”

NCGA’s Key Priorities Key Issues BiotechnologyTransportation Farm Policy Rural Development TradeEthanol Research & Development Natural Gas

December 2002 In operation (66)2.71 bgy Under construction (11).48 bgy

Ethanol Industry Production 316,000 barrels per day (b/d) 2006 production will likely exceed 5 billion gallons

AS OF: June 2006 In operation(102) 4.75 bgy Construction (32) 2.03 bgy Proposed(127) 8.21 bgy

Food and Fuel

How Much Ethanol Can Come From Corn? Increasing corn yields Incremental acreage shifts Demand for non-ethanol corn use is flat DDGs will increasingly displace corn in feed rations Improved ethanol efficiency

Corn Growers are Producing Food AND Fuel Steadily increasing demand for corn is being met with a steadily increasing supply There is plenty of corn available for all uses In addition to fuel, the ethanol process yields high-quality livestock feed and food products

Corn Growers Are Producing Food and Fuel Corn demand for ethanol has little or no impact on food prices Larger supplies of corn will ensure continued availability of affordable corn Increased production will allow corn growers to satisfy both domestic and export demand

“15 x 15 x 15” 15 billion bushel corn crop 15 billion gallons of ethanol …by 2015 NCGA’s Vision Ex: 80 m. ac. 188 bu./acre ~10% of gasoline mkt. ~5 billion bu. demand 9 Years for Infrastructure Development Dozens of Yield- Acreage Combos get us there

Summary: Lots of Things to Fear….. Bird Flu Hits Trailer Park……

Running out of corn is not one of them……

Making a Difference! Thank You! For more information visit