New study shows economic impact of year-round E15

CHESTERFIELD, Mo. — The amount of corn used for ethanol has flattened since the boom of the mid-1990s through 2010, but a new economic study shows the opportunities an E15 blend would provide.

The National Corn Growers Association and Renewable Fuels Association recently released the economic study that finds using an E15 ethanol blend year-round would “provide a boon to the American economy, benefiting farmers, communities and consumers alike.”

“Allowing consumers year-round access to E15, gasoline blended with up to 15% ethanol, would magnify these benefits to the economy as a whole and notably would expand markets for corn growers at a time when conditions in the sector are challenging,” the study said.

U.S. Sen. Deb Fischer, R-Neb., introduced the Nationwide Consumer and Fuel Retailer Choice Act of 2025 earlier this year that includes the year-round, nationwide sale of E15. She had introduced several similar bills since 2015.

NCGA and RFA analysis found passage of Fischer’s bill would mean an additional $25.8 billion to U.S. gross domestic product in direct, indirect and induced economic activity, more than 128,000 full-time equivalent jobs and $10.3 billion in income for workers and owners through the full implementation of E15.

Of the additional $25.8 billion in economic impact, $7.3 billion comes from ethanol production, while another $13.8 billion comes from the corn needed to produce the ethanol and the remaining amounts are derived from exports and construction.

This includes all the direct, indirect and induced impacts of the resulting demand for inputs, capacity and supporting industries.

Direct effects, which occur directly in the industries in which activity results from a policy or other change being analyzed, account for 45% of changes to GDP contribution and nearly 20% of jobs.

Nearly half of jobs were generated by indirect effects, meaning business-to-business purchases and activity that support the initial industry.

Corn Demand

In 2025, ethanol is expected to use approximately 33% of the projected record-setting 16.8-billion-bushel corn crop, emphasizing the importance of the biofuels industry to corn farmers and fueling vehicles, employment for Americans and economic activity.

The full implementation of E15 would be expected to boost corn use in ethanol by 2.38 billion bushels, according to the report.

The U.S. Department of Agriculture estimated corn for ethanol and byproducts at 5.6 billion bushels in the September supply and demand estimates report, and full implementation would push it to 7.98 billion bushels.

The study “assumptions” offset the additional corn use for ethanol with lower exports and “other use,” while increasing production from the 15.5 billion bushel baseline to 16.9 billion, keeping ending stocks unchanged at 2 billion bushels.

“The study findings support what corn growers have been saying all along, and that is that higher sales of corn ethanol are good for the economy, and that is particularly true for rural America,” said NCGA President Kenneth Hartman Jr., of Waterloo in southwestern Illinois.

“Given the state of the farm economy and the focus on increasing jobs available to Americans, we would encourage Congress to act quickly and pass legislation that allows consumers to access E15 year-round.”

“Ethanol has a proven track record when it comes to boosting rural economics, creating good jobs and opening valuable new markets for farmers,” said RFA President and CEO Geoff Cooper.

“But outdated policies, like the summertime barrier on E15, are stifling further growth. This new report shows exactly what’s at stake; thousands of jobs, billions of dollars in economic activity, and the health of the farm economy are all on the line. It’s time for Congress to adopt legislation allowing year-round E15.”

Economic Boost

Agricultural groups have been sounding the alarm on the state of the rural economy.

Reports recently released by the USDA are projecting that this year’s corn crop will be the largest on record by far, with production 1.5 billion bushels above the record set in 2023 and a 13.1% increase over the 2024 harvest.

With the marketplace struggling to absorb this surplus, corn prices, which are already at five-year lows, will struggle to rebound unless new sources of demand are opened.

The findings show that the demand for higher blends of ethanol could help create a home for increased corn production.

The study was conducted by the NCGA and RFA economists using the Impact Analysis for Planning model with 2023 base year data for the U.S. and monetary figures reported in 2025 dollars.

Economists arrived at the impact numbers by comparing the economic output of three outcome scenarios, not necessarily specific years: establishing a baseline of corn usage for ethanol and the economic impact of the ethanol industry, a scenario of interim E15 adoption as infrastructure and capacity builds up and full E15 adoption.