American Frozen Food Institute Urges Congressional Action on Renewable Fuel Standard

McLean, VA –The American Frozen Food Institute (AFFI) today called on Congress to reform the Renewable Fuel Standard (RFS), warning that without action food makers will be forced to contend with additional cost increases and consumers will see higher food prices. The RFS mandates the annual production of 13 billion gallons of corn-based ethanol, an amount that consumes approximately 40 percent of America’s corn production. At separate briefings held for the U.S. House of Representatives and U.S. Senate, AFFI Vice President of Government Affairs Kristin Wilcox delivered the following statement emphasizing the urgent need for reform: “In our view on behalf of the frozen food industry, the RFS is unworkable and should be revisited by Congress. Our position is very simple: food should be used to fuel bodies not vehicle engines. “Since corn is a vital part of America’s food supply, both as an animal feed and a food ingredient, as the price of corn increases it puts pressure on the cost of producing a wide range of foods and leads to higher food bills for consumers. In fact, food costs are expected to rise three to four percent this year. “Frozen food makers are adversely affected by rising corn prices. Countless frozen food products and prepared meals are made with meat proteins, dairy, wheat, soybeans and corn. The availability and price of these inputs are all negatively impacted by the RFS. “Left unchanged, the RFS will continue to divert more and more of the nation’s corn crop, and more farm acreage, away from food production and into the production of motor fuel. You don’t have to be an economist to recognize that this trend will cause further food cost spikes, a most unwelcome prospect for U.S. food makers and the consuming public. Trying to change the price at the pump should not burden consumers with increased prices in the grocery checkout aisle.” AFFI was joined by seven industry associations at today’s briefings to underscore the significant harm done by the RFS across a wide spectrum of the American economy.