Soybean Farmers Applaud Iowa Lawmakers for Prioritizing Domestic Feedstocks in Clean Fuel Tax Credit Guidance

Soybean Farmers Applaud Iowa Lawmakers for Prioritizing Domestic Feedstocks in Clean Fuel Tax Credit Guidance

September 10, 2024 | Brock Johnston

Ankeny, Iowa - The Iowa Soybean Association (ISA) today commends Iowa U.S. Representatives Randy Feenstra (R-04), Ashley Hinson (R-02), Mariannette Miller-Meeks (R-01), and Zach Nunn (R-03), for joining a bipartisan letter to the U.S. Department of Treasury urging it to expedite the issuance of final guidance for the 45Z Clean Fuel Production Credit ahead of its Jan. 1 deadline and to ensure domestic feedstocks are prioritized over imports of foreign feedstocks in U.S. renewable fuel production.

Brent Swart, ISA president and soybean farmer from Spencer, issued the following statement:

"Treasury must ensure the 45Z tax credit is only applicable to fuels produced domestically with domestic feedstocks, so American farmers, processors and rural Iowa can benefit from the credit. ISA has continued to monitor the record importation of used cooking oil and tallow driven by growing domestic production of renewable diesel and new incentive structures like 45Z. Although a growing domestic renewable fuels sector and new incentives are beneficial to U.S. soybean farmers, the surge in foreign feedstock imports has placed tremendous pressure on soybean oil prices and are leading to substantial financial losses - estimated to be up to a $1.30 per bushel, or approximately $37,500 in loss for a 500-acre farm. We sincerely thank Iowa's Congressional delegation for supporting Iowa farmers through this effort. We also extend thanks to ISA Advocate Members for their continued engagement with lawmakers on this issue."

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