New Study Shows Powerful Impact of Ethanol Industry on Jobs & Energy Independence

Renewable Fuels Association

Feb 19, 2014

ORLANDO, Fla - The Renewable Fuels Association (RFA) unveiled a new study today by ABF Economics entitled “Contribution of the Ethanol Industry to the Economy of the United States” at the National Ethanol Conference in Orlando, Fla.

The study examines the nationwide impact of the ethanol industry in 2013 on job creation, the economy, household income, and foreign oil displacement.

Bob Dinneen, president and CEO of the RFA, commented on the new study, noting, “Last year we fought, and we continue to fight, against naysayers determined to end the Renewable Fuel Standard. These numbers should silence the opposition as the ethanol industry is clearly helping individuals, families, communities, and our country by creating jobs, displacing oil imports, and contributing to America’s economy.”

The new ABF Economics study found that the 13.3 billion gallons of ethanol produced created 86,503 jobs and sustained an additional 300,277 indirect and induced jobs.

At the national level the ethanol industry contributed $44 billion to America’s Gross Domestic Product (GDP) while adding $30.7 billion to household incomes.

Additionally, the 13.3 billion gallons of ethanol displaced 476 million barrels of imported oil, saving Americans $48.2 billion in oil imports. That equals roughly 13 percent of last year’s expected crude oil and petroleum imports.

“The ethanol industry continues to make a significant contribution to the economy in terms of job creation, generation of tax revenue, and displacement of imported crude oil. The $40 billion ethanol producers spent on raw materials, other inputs, and goods and services during 2013 contributed more than $44 billion to the nation’s GDP and supported a significant number of jobs in all sectors of the economy.

"The use of ethanol also continues to enhance the nation’s energy independence. The dollars spent on domestically produced ethanol instead of imported crude oil and petroleum products is money that is spent and reinvested in the American economy,” said John Urbanchuk, managing partner of ABF Economics.

The study conducted by ABF Economics, and commissioned by the RFA, can be found here.

Read the RFA's original press release here : New Study Shows Powerful Impact of Ethanol Industry on Jobs & Energy Independence