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Bizbits: Chinese Ethanol
By Mr Ethanol | June 13, 2007
FayObserver:
China is putting a moratorium on projects to make ethanol from corn and other food crops, telling producers to switch to crops not widely eaten in China, such as sorghum, a state news agency reported Monday.
China is promoting ethanol in an effort to reduce reliance on imported oil but worries that demand for raw material could push up food prices and the need for scarce farmland.
“Food-based ethanol fuel will not be the direction for China,” the Xinhua News Agency quoted Xu Dingming, an official of the National Energy Leading Group, as saying at a weekend energy seminar.
The government plans to ask producers to switch to crops such as cassava and sorghum, Xinhua said, citing an official of China’s top planning agency, the National Development and Reform Commission.
The government “has been trying to avoid occupation of arable land, consumption of large amount of grain and damages to the environment in developing the renewable energies,” the agency said.
Topics: Ethanol, Industry, Market |
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