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E-85 Prices Rising As Drought Continues
Updated May 5, 2013 12:11 AM | Filed under: Network Indiana
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(MIDDLETOWN) - The corn crop is slowly but surely drying out.

The long stretch of hot, dry weather is causing corn prices to rise quickly on the world market, which means you could be paying more at the grocery store soon as well as more at the gas pump if you use E-85.

Adam Howell with Howell Farms in Middleton says their crop is at a critical stage, as are corn fields at other farms. Howell wouldn't say there was a "drop dead date" for the survival of this year's crop, but says there is always the danger of losing the entire crop if the period of no rain continues.

Central Indiana Ethanol in Marion gets most of its corn from Indiana.

Jeff Harts, Vice President of Core Business with CIE, says their costs are going up rapidly with the rise in the price of corn. Harts says it isn't enough to raise the price of ethanol so much that E-85 pump prices will end up higher than the price of regular unleaded.

E-85 prices in Indiana are typically much lower, though the gap has narrowed as gas prices have fallen over the last two weeks.

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