Soybean Oil for Biofuel Production Has A Limited Impact on Food Prices
A recent study by Purdue University, in partnership with the United Soybean Board, shows no statistically significant relationship between increased use of soybean oil in biofuel production and retail food prices for consumers.
Over the past decade, the amount of soybean oil used in biofuel production has quadrupled. Until recently, though, retail prices for soybean oil – an ingredient for margarine, cooking oils, and salad dressings – have remained stagnant.
In this episode of Fueling Conversations Jayson Lusk, distinguished professor and head of agricultural economics at Purdue University and director of its Center for Food Demand Analysis and Sustainability, discusses creating an economic model to identify the effects of shifts in demand for soybean oil in biofuels on food prices.