AC LAB: Cuban Sugar Cane Negative Solvency The Pimentel evidence talks about corn, that’s why it’s sandbagged – not unwinnable, but much more effective/credible if it’s not the premise of the argument in the 1NC Solvency – 1NC http://scholar.google.com/scholar?hl=en&q=%22food+prices%22+OR+%22global+food%22+AND+%22overblown %22+OR+%22hype%22+OR+%22over+hyped%22+OR+%22doom+saying%22+OR+exaggerated%22+OR+doom+sayi ng%22+OR+%22overestimated%22+OR+%22contrary+to+popular%22+OR+%22alarmist%22+OR+%22fear+monger ing%22+OR+%22scare+mongering%22&btnG=&as_sdt=1%2C30&as_sdtp= http://www.atomicarchive.com/Movies/Movie8.shtml Just not happening Brad Plumer, Published: 7-1-2013 [“This terrifying chart shows we’re not growing enough food to feed the world”, http://www.washingtonpost.com/blogs/wonkblog/wp/2013/07/01/this-unsettling-chart-showswere-not-growing-enough-food-to-feed-the-world]/sbhag It’s a question that keeps crop scientists up at night: How are we possibly going to feed the world over the next few decades? (Reuters) After all, consider what we’re up against: The global population is expected to swell from 7 billion today to 9.6 billion by 2050. The rising middle class in China and India is eating more meat than ever. And this is all happening at a time when we’re setting aside a greater slice of farmland for biofuels and trying not to cut down any more forests (which exacerbates climate change). Doing this in a sustainable manner is tricky. In theory, there’s a simple solution here: The world’s farmers will just need to get better at squeezing more productivity out of existing farmland. Crop yields have been steadily improving since the advent of synthetic fertilizer and modern agricultural techniques. So those yields will just need to keep improving in the years to come. But there’s a big problem: This isn’t happening. Or at least, it’s not happening fast enough. A recent peer-reviewed study in the journal PLOS ONE found that crop yields haven’t been rising at a sufficient pace to meet projected demand by 2050. Here’s the key graph: journal.pone.0066428.g001 The study takes a careful look at historical improvements in crop yields for corn, rice, wheat and soybeans. As you can see, yields per acre have been growing fairly constantly in all four areas. The solid lines show what would happen if this growth continued. And it’s not enough. The dashed lines above show how productivity would need to grow even more rapidly for the world to satisfy expected demand and double global food production by 2050 in a sustainable manner, without razing more forests for farmland. “Current rates,” the authors note, “are not achieving this goal.” The paper, by Deepak Ray, Nathaniel Mueller, Paul West and Jonathan Foley, also finds that crop productivity growth isn’t uniform around the world. In some places, crop yields are actually stagnating. Here’s the map for global wheat production: global wheat In the U.S. Midwest, wheat yields per acre have been rising at a decent 2 percent per year. But in parts of India or Eastern Europe, they’ve basically flat-lined. The same holds true for other crops: “China, India and Indonesia are witnessing rice yield increases of only 0.7%, 1.0%, and 0.4% improvement per year,” the paper notes. There are two big reasons why yield gains could be stagnating, explained Jonathan Foley, an agricultural expert at the University of Minnesota, in an interview we did a few months back. “In many parts of the world, we haven’t seen enough investment in agriculture because of economics or policies or institutions,” he said. Many former Soviet states, say, could improve their yields through better fertilizer use. They just aren’t doing it. But in some parts of the world, there’s a more worrisome prospect — farmers are doing everything they can to squeeze more productivity out of their farmland, but they’re starting to hit a biological “wall,” a limit on how much yields can keep rising. “We can sometimes bust through these walls with technology, genetics, better seeds,” Foley says. Indeed, this is a place where people hope that genetically modified crops might be able to boost yields. “But at a certain point,” Foley says, “ we run up against fundamental physiological limits for plants. If billion of years of evolution can’t figure it out, are we going to be able to? That I don’t know.” And this is all a worry even before we start talking about global warming, which creates its own set of issues. Scientists like David Lobell have found evidence that extreme heat waves could hurt crop yields in the decades ahead, outweighing the benefits of warmer temperatures. And if climate change brings more frequent droughts — as some researchers expect — that would make a further dent. Australia’s wheat yields, for one, have stagnated in recent years thanks to an extended dry period. So what can the world actually do? If crop yields don’t improve quickly enough, then something will have to give. Food prices could start spiking further in the years ahead. Or humans might just start clearing away bigger swaths of forest for new farmland, which could exacerbate climate change. Neither seems ideal. Nope Not enough farmland in the whole world – 1ac evidence David Pimentel et al., David - College of Agriculture and Life Sciences at Cornell, Tad Patzek - Department of Civil and Environmental Engineering @ UC Berkeley, and Gerald Cecil - Department of Physics and Astronomy UNC Chapel Hill, 2007 [“Ethanol Production: Energy, Economic, and¶ Environmental Losses,” Review Environmental Contamination Toxicology - Springer, http://bilder.buecher.de/zusatz/20/20946/20946636_lese_1.pdf] /sbhag When considering the advisability of producing sufficient ethanol for auto mobiles, the availability of cropland required to grow sufficient corn to fuel each automobile is critical. For the sake of argument we use Shapouri’s (Shapouri et al. 2002. 2004) optimistic suggestion that all natural gas and electricity inputs be ignored and only gasoline and diesel fuel inputs be assessed. Based on Shapouri’s input—output data, 2,929 L ethanol is produced/corn ha. When equated to gasoline, this ethanol has the same energy as 1,890 L gasoline. An average U.S. automobile travels more than 10,000 miles/yr and uses about 1,890 L gasoline/yr (USCB 2004—2005). To replace this gasoline usage with ethanol, about 1 ha corn would have to be grown. Consider that at present 0.5 ha U.S. cropland is used to feed each person a diverse and nutritious diet (USCB 2004—2005). Therefore, even using Shapouri’s optimistic energy accounting data, to fuel one automobile with ethanol, as a substitute for the yearly use of gasoline for 1 yr, two times 32 D. Pimentel et al. more cropland would be required for corn production and ethanol pro duction than now is required to feed one person! Worldwide, for ethanol to replace gasoline, about 2.4 billion ha cropÍand planted to corn would be required, which represents 60% more cropland than exists in the world (A.R.B. Ferguson. personal communication, Optimum Population Trust, November 6, 2005). Food for fuel Food for Fuel – 1NC GMOs solve Varshney et al, 4-15-2011 [the names have numbers, each corresponds to a qualification listed below Rajeev K. Varshney1,2,3*, Kailash C. Bansal4,5*, Pramod K. Aggarwal6,7,Swapan K. Datta8 and Peter Q. Craufurd1, QUALS: **1 International Crops Research Institute for the Semi-Arid Tropics (ICRISAT), **2 CGIAR Generation Challenge Programme, mexico **3 School of Plant Biology (M084), Faculty of Natural and Agricultural Sciences, The University of Western Australia, **4 National Research Centre on Plant Biotechnology (NRCPB), IARI Campus **5 National Bureau of Plant Genetic Resources (NBPGR), **6 Division of Environmental Sciences, NRL Building, Indian Agricultural Research Institute (IARI), **7 CGIAR Challenge Program on Climate Change, Agriculture, and Food Security (CCAFS), International Water Management Institute (IWMI), NASC Complex, Dev Prakash Shastri Marg, Pusa, **8 Division of Crop Science, Indian Council of Agricultural Research (ICAR), “Agricultural biotechnology for crop improvement in a variable climate: hope or hype?”, http://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=3&cad=rja&ved=0CEMQFjAC&url=http%3A %2F%2Fhomepage.agron.ntu.edu.tw%2F~menchi%2F2013%25B0%25AA%25B5%25A5%25A7%40%25AA%25AB%2 5A5%25CD%25B2z%25BE%25C7%2F%25B8%25C9%25A5R%25B1%25D0%25A7%25F7%2FTopic%2520I-FACE%2Fclimate%2520change%2FAgricultural%2520biotechnology%2520for%2520crop.pdf&ei=_gf3UaTwHJWr4A ORooDoDg&usg=AFQjCNGDK-BUTeyKn7tX-Q_uSO93Ur1hsA&sig2=EqHcQQB4X-NbnutDC80wVQ]/sbhag In the context of current climate variability, as well as predicted increases in mean temperature and annual precipitation, what do recent advances in agricultural biotechnology so that they are better adapted to biotic and abiotic stresses, leading to higher crop productivity? In this review, we critically examine the role that agricultural biotechnology could play in addressing biotic and abiotic constraints to greater food productivity. Biotechnological interventions The objective of plant breeding for stress environments is to accumulate favorable alleles that contribute to stress tolerance in a plant genome. Genes that confer stress resistance can be sourced from germplasm collections, including wild relatives of crops that are held in genebanks or organisms that currently live in the habitats of water deficit or excess, extreme temperature and salinity that have evolved to cope with those conditions [15]. Although some progress has been made through conventional breeding [16], breeding for abiotic stress tolerance is constrained: (i) by the complex nature of abiotic stress tolerance (timing, duration, intensity, frequency) and thereby its quantification and repeatability; (ii) because undesirable genes are also transferred along with desirable traits; and (iii) because reproductive barriers limit the transfer of favorable alleles from diverse genetic resources. Biotechnology is a viable option for developing genotypes that can perform better under harsh environmental conditions, particularly for (ii) and (iii) above. For instance, advances in genomics coupled with bioinformatics and stress biology can provide useful genes or alleles for conferring stress tolerance. Superior genes or alleles where they have been identified in the same species can be transferred into elite genotypes through molecular breeding (MB). Moreover, by using an approach such as genetic engineering (GE), there is no barrier to transferring useful genes or alleles across different species from the animal or plant kingdoms. As a result, biotechnology approaches offer novel strategies for producing suitable crop genotypes that are able to resist drought, high temperature, submergence and salinity stresses (Figure 1). Key strategies where genetic enhancement for abiotic stress tolerance has led to crop improvement are outlined in Box 1. Ethanol is insubstantial for other crops – 500 scenarios analyzed, the EPA already considered removing demand for corn ethanol written by Pete Danko, citing the EPA, 11-17-2012 [“EPA Says Ethanol Mandate Isn’t Driving Up Food Prices”, http://www.earthtechling.com/2012/11/epa-keeps-u-s-ethanol-requirement]/sbhag It was food makers vs. feed growers – something of a proxy war in the larger food vs. fuel fight – and the feed folk won. The EPA on Friday rejected a request by several states – livestock, pork, poultry and dairy producing states, mostly – to waive the federal renewable fuel standard , which requires that transportation fuel sold in the United States contain a mandated amount of ethanol. corn harvest image via Shutterstock Ethanol in the U.S. is made overwhelmingly from corn, and in this drought year the industries that use corn for feed had argued that siphoning off a huge portion of a smaller-than-normal crop and putting it in gasoline tanks was tightening supplies, driving up prices and generally making life miserable if not impossible for them. EPA said sorry, we can’t help. “Economic analyses of impacts in the agricultural sector, conducted with USDA, showed that on average waiving the mandate would only reduce corn prices by approximately 1 percent,” the agency said in a statement.. “Economic analyses of impacts in the energy sector, conducted with DOE, showed that waiving the mandate would not impact household energy costs.” This year, the renewable fuel standard requires blenders to work 13.2 billion gallons of ethanol into gasoline. In a normal year, that would eat up about 40 percent of the corn crop. Due to drought, however, this year’s crop has been forecast to come in around 25 percent smaller than normal, so theoretically ethanol is eating up a much greater proportion. Nevertheless, the EPA said the RFS just doesn’t have a whole lot of influence on the market. Quoting from the decision [PDF]: EPA’s analysis shows that it is highly unlikely that waiving the RFS volume requirements will have a significant impact on ethanol production or use in the relevant time frame that a waiver could apply (the 2012-2013 corn marketing season) and therefore little or no impact on corn, food, or fuel prices. We analyzed 500 scenarios, and in 89 percent of them we see no impacts from the RFS program at all. No extinction XTN Doesn’t cause extinction The Food Futurist, 10-13-2012 [“Fear mongering does not build a solid future”, The Food Futurist, http://hfgfoodfuturist.com/2012/10/13/fear-mongering-does-not-build-a-solid-future]/sbhag Since the drought in the US of this past summer and the strong price increase of agricultural commodities, agriculture has become a favorite topic in the media. As such, this would be really good if it were not for the (potential) disaster voyeurism. There is nothing like a flavor of end of the world in the works to get the attention of the readers. After all, this is good to fill advertising space and to promote a book. Since I started to look at the future of food and farming, I have seen an evolution on how people look at the future of agriculture. When I started, I could hear statements about the need to have two (even three and four) Earths to meet demand. Interestingly, none of those who stated this impossibility neglected to pay attention to food losses, and they were only focusing on more production. When could passing a mop under an open tap be a sensible approach? If we really come to need more than one planet, then there is only one outcome. Since that second Earth does not exist, the surplus of people would have to die so that the world can meet the demand of the survivors. I agree that it is not a cheerful thought. However, Mao Tze Tung once considered that it could be acceptable that half of his people, the poor, would die of famine to allow the other half that could afford food to be able to meet its needs. Such a morbid thought is actually more common that one would admit, and in this world of political correctness, it is repressed voluntarily. That does not stop the fear mongers, though. They just not choose to sacrifice a group to save another one. They tell us that we are all going to face our demise. That is politically correct, I suppose. Personally, I do not consider that announcing disasters is constructive. Fear is a poor adviser, and it is certainly not the proper way to communicate about problems. There is no shortage of doomsday thinkers out there. In We Will Reap What We Sow, I address the many challenges that the doomsday thinkers bring up. Instead of taking an apocalyptic approach like they do, I chose to initiate a positive reflection about alternatives and solutions. Scaring people is too easy, especially when they are not experts in the field of agriculture. I am not a fan of the one-eyed being king in the land of the blind. I have 20/20 vision and I want to help others to also see with both eyes. In my book, I make clear that we will live with the consequences of our actions (hence the title), but I give many reasons for hope. It is more productive then despair. Brazil / amazon Brazilian trade-off – 1NC No impact Rodrigues et al ‘12 [Eduardo Rodrigues de Castro, Federal University of São Carlos, Erly Cardoso Teixeira, Federal University of Viçosa, Constanza Valdes, Economic Research Service , “SUGAR CANE EXPANSION: DOES IT CONTRIBUTE TO AMAZON DEFORESTATION?”, Selected Paper prepared for presentation at the International Association of Agricultural Economists (IAAE) Triennial Conference, Foz do Iguaçu, Brazil, 18-24 August, 2012, http://ageconsearch.umn.edu/bitstream/131703/2/deCastroEtAl.pdf]/sbhag The aim of this study is to investigate the direct and indirect impacts of sugarcane expansion on deforestation in the Brazilian Amazon from 2001 to 2008. The analysis is based on the multi-output production theory where the annual agricultural acreage represents the Production Possibility Fro ntier. It assumes that agricultural area is limited and any agricultural expansion occurs over traditional agricultural areas displacing some crops and pushing them to the agricultural frontier, where forests will be cleared. The econometric analysis was carried out using a panel data model where the counties are the cross section unity. The output supply for São Paulo state and the agricultural frontier states (Mato Grosso, Rondônia, Maranhão and Tocantins) in the Center-West region are estimated separately, considering the acreage as proxy of the output and the crop prices of sugarcane, soybean, corn, beans, cotton and the total annual acreage as the independent variables. The impact of crop prices and the annual agricultural crop expansion over the deforestation acreage are also estimated. Our best estimates reveal that it is not possible to establish a direct connection between sugarcane area expansion and Amazon deforestation, and while the indirect effects are very small, sugarcane also expanded over pastures and perennial crops, leading to an overall increase in annual crop area. Super duper no impact Rodrigues et al ‘12 [Eduardo Rodrigues de Castro, Federal University of São Carlos, Erly Cardoso Teixeira, Federal University of Viçosa, Constanza Valdes, Economic Research Service , “SUGAR CANE EXPANSION: DOES IT CONTRIBUTE TO AMAZON DEFORESTATION?”, Selected Paper prepared for presentation at the International Association of Agricultural Economists (IAAE) Triennial Conference, Foz do Iguaçu, Brazil, 18-24 August, 2012, http://ageconsearch.umn.edu/bitstream/131703/2/deCastroEtAl.pdf]/sbhag Conclusions Sugarcane expansion in the Brazilian agricultural frontier cannot be associated to deforestation despite the fact that some regions in the country present a large sugarcane acreage growth. Yet, some other regions have presented a strong expansion annual crop acreage, which may have contributed to the advance of the agricultural frontier over forest areas. While sugarcane has become one of the most important crops in terms of cultivated area in São Paulo State with some regions in this State have more than half of the total annual crop area cultivated to sugarcane. The econometric results indicate a negative impact of sugarcane prices on the acreage of other crops, which may have resulted in sugarcane replacing these other crops. The annual crop acreage expansion in recent years (2004-08) appears to have been caused by sugarcane due to the increase in the ethanol demand in this period. Comparing the estimations between São Paulo State and the agricultural frontier, it is not possible to establish a connection between the expansion of sugarcane and the expansion of all other crops considered in our analysis in the frontier region, except for corn. Although the replacement of this crop in São Paulo State may be related to the expansion of this crop in the frontier region, there are many other variables that affect corn price, including international prices. Sugar is better for land – livestock is worse Suhail Ahmad, B.E., Avionics Engineering, National University of Science and Technology, 2004, Submitted to the Engineering Systems Division in Partial Fulfillment of the Requirements for the Degree of Master of Science in Technology and Policy at the Massachusetts Institute of Technology June 20 11 [“The Impact of Biofuel Mandates on Land Use”, Massachusetts Institute of Technology. Engineering Systems Division; Massachusetts Institute of Technology. Technology and Policy Program, http://hdl.handle.net/1721.1/65497]/sbhag Figure 20 shows biofuel exports by BRA will have significant impact on regional cro p land. The total crop area in the trade scenario is significantly less than the area in no trade scenario as land devoted to non - biofuel crops is d evoted to sugar cane production. The 2025 level for crop land in no - trade case is 76 MHa and in trade case it is 50 MHa. The pastur e land also decrease s from 148 MHa in no - trade case to 134 MHa in trade case for 2025 . T he natural forest and natural grass land area is higher in the trade scenario compared with the no trade scenario . T his can be explained by the fact that in trade cas e Brazil tends to specialize more toward sugar c ane ethanol due to higher margins through biofuel exports , and away from 53 livestock. Thi s results in reduced demand for livestock land reliev ing the pressure on t he natural forest and natural grass land which otherwise might have had been converted to pasture land for the livestock industry . Instead more livestock is produced in the US (pasture land area increases in US over time as shown in Appendix), rather than being crowded out by ethanol production, and th us a very surprising result that increased sugar ethanol production actually decreases deforestation in Brazil. 7% saved if allow free trade Suhail Ahmad, B.E., Avionics Engineering, National University of Science and Technology, 2004, Submitted to the Engineering Systems Division in Partial Fulfillment of the Requirements for the Degree of Master of Science in Technology and Policy at the Massachusetts Institute of Technology June 20 11 [“The Impact of Biofuel Mandates on Land Use”, Massachusetts Institute of Technology. Engineering Systems Division; Massachusetts Institute of Technology. Technology and Policy Program, http://hdl.handle.net/1721.1/65497]/sbhag I analyzed the effects of enabling biofuel free trade in US and EU combined policy scenario and observe that 57 Brazil experiences a 19 times incr ease in sugarcane ethanol production over the time span of 2005 - 2030 compared to the case with no trade wh ile the production in US and EU is no longer economical and leads to no domestic production of first generation biofuel s . The most important finding is that this explosive growth in biofuel production reduces the rate of deforestation in Brazil and results in saving 7 % of natural forest land. The global biofuel prices are on average 33.5% less if the trade is allowed compared with no or minimal trade w hich is a realistic depict ion of the existing trade barriers in the EU and US. K and T Neoliberalism Link-cuban colonialism Link-cuban sugar Link-renewables T – EE 1NC Topicality A. Economic means trade, business and finance Shafritz 92 Jay M Shafritz, The Harper Collins Dictionary of American Government and Politics 1992 p 195 Economic policy The process by which a nation manages its trade, business, and finances. Economic policy generally consists of three dimensions – fiscal policy, monetary policy, and those other facets of public policy with economic implications (such as energy policy, farm policy, and labor union policy). The interaction of these policy dimensions is crucial, since none operate in a vacuum. While monetary policy basically exercises control over the quantity and cost (interest rate) of money and credit in the economy, fiscal policy deals with the sizes of budgets, deficits, and taxes. Other policy areas, such as housing poicy (also dependent on interest rates) and programs dependent upon deficit spending, involve aspects of both monetary and fiscal policy, and vice versa. However, their interrelationship does not exist with regard to implementation. Monetary policy, while receiving major inputs from the President and other executive agencies, is the responsibility of the Federal Reserve Board, an independent agency. Fiscal policy, while receiving similar inputs from the Federal Reserve Board, is primarily the responsibility of the President and Congress. The degree of equality and subsequent share of responsibility varies within a stable range. While a President may wish to spend this or that amount, only Congress has the constitutional ability to levy taxes (although tax laws, like any others, must be signed or vetoed by the President). Also limiting a President's discretion over economic poicy is the fact that so much of it is controlled by prior funding decisions (e.g., welfare, entitlement, and pension programs, which are not easily changed. See also FISCAL POLICY; MONETARY POLICY; POLITICAL ECONOMY. B. Violation – the plan removes barriers to trade but does not mandate an increase in trade. C. Vote negative – Limits – affirmative definitions justify plans that remove barriers to trade, but that can be almost anything. It also doesn’t mandate economic engagement, it just results in it – most any policy action can be said to increase economic engagement. Alternative interps Economic engagement includes assistance, trade, and debt relief Obama 8 Obama – Biden 2008 STRENGTHENING OUR COMMON SECURITY BY INVESTING IN OUR COMMON HUMANITY http://www.training-vanzari.ro/wp-content/uploads/2008/11/plandeafaceripoliticobama.pdf Launch the Global Energy and Environment Initiative (GEE).Climate change is a crisis that cannot be contained to one corner of the globe. Studies show that with each degree of warming, rice yields - the world's most significant crop - fall by 10 percent. By 2050 famine could displace more than 250 million people worldwide. In their energy plan, Barack Obama and Joe Biden call for the creation of a new Global Energy Forum of the world’s largest greenhouse gas emitters. They also make clear that we cannot ignore the developing countries that are being worst affected by climate change and force them to tackle adaptation on their own. To that end, they will call on the Global Energy Forum to launch the GEE Initiative to bring developing countries into the global effort to develop alternative sources of energy and prepare for the ravages of a changing climate. GEE will help build the capacity of the developing world to participate profitably in the global carbon market, promote the transfer of viable and affordable technologies, and ensure that a substantial portion of increased research and development funds isallocated to technology adaptation appropriate to thepoorest countries. Barack Obama and Joe Biden will incorporate climate change and energy development goals into all tools of U.S. economic engagement, including assistance programs, trade agreements, and debt reliefinitiatives and help developing countries prepare for climate change byspurring the development of an open-source, real time mapping system toforecast the impacts of climate change country-by country. An Obamaadministration will also create an Emerging Market Energy Fund, using USG funding to leverage the investment and venture capital needed to expand the developing world’s renewable energy portfolio. The plan is not in the area of trade, grants, loans or inventment; these are the areas of economic engagment GAO 13 United States Government Accountability Office, Trends in U.S. and Chinese Economic Engagement February 2013 http://www.gao.gov/products/GAO-13-199 Since 2001, China has rapidly increased its economic engagement with sub-Saharan African countries. The United States has increased aid to sub-Saharan Africa and in 2010 provided more than a quarter of all U.S. international economic assistance to the region. According to some observers, China’s foreign assistance and investments in Africa have been driven in part by the desire for natural resources and stronger diplomatic relations. Some U.S. officials and other stakeholders also have questioned whether China’s activities affect U.S. interests in the region. GAO was asked to review the nature of the United States’ and China’s engagement in sub-Saharan Africa. This report examines (1) goals and policies in sub-Saharan Africa; (2) trade, grants and loans, and investment activities in the region; and (3) engagement in three case-study countries—Angola, Ghana, and Kenya. GAO obtained information from, among others, 11 U.S. agencies, U.S. firms, and host-government officials. GAO was not able to meet with Chinese officials. GAO did not include U.S. and Chinese security engagement in the scope of this study Economic engagement includes investment, trade, capital, loans, and mergers and acquisitions Vekasi 9 Kristin Vekasi Red Tape, Green Money: Political Conflict and Economic Logic in Sino-Japanese Relations, dissertation proposal November 27, 2009 users.polisci.wisc.edu/irc/Vekasi.pdf Specifically, I examine how the conflict stemming from political nationalism impacts specific types of economic engagement, including foreign direct investment (FDI), trade, capital flows, bank lending, and mergers and acquisitions by Japan. FDI will be traced closely using both statistical and interview data, whereas the other types of economic engagement will only be analyzed in a large-scale quantitative analysis. FDI is of particular interest because of the basic tension between encouraging foreign business activities and maintaining state control over them," which highlights the political tension between economic and political power dynamics (Potter 1995, 155). Tracing how distinct forms of economic interaction are impacted by the same political con icts can illuminate which domestic coalitions or interests are influential and important to the bilateral political relationship, while the detailed investigation of FDI will highlight the specific mechanisms at play in shaping decisions by investors. This analysis addresses some of the persistent questions in international political economy about the role of domestic politics in international trade, investment, and financial flows. It also provides an alternative perspective on the state and economic globalization, con-tributing to studies which posit that national identity is important in determining economic policy. In particular, the ne-grained analysis of how political conflicts between China and Japan change how Chinese state actors and Japanese economic actors make decisions about foreign direct investment projects will add important insights to the study of economic and political engagement in this era of globalization. The results will be generalizable to other trade and financial policies, as well as to other economic relationships between conflictual pairs of states. AT: Includes sanctions 1. key distinction – economic engagement can remove sanctions, but removing sanctions isn’t always economic engagement – doesn’t require them to actually trade 2. explodes limits – thousands of specific tarrif, and since they don’t have to economically engage, just remove barriers like sanctions, Sanction Military sanction Sanctions are too broad – that can be anything that supports an action or condition Dictionary.com ‘13 http://dictionary.reference.com/browse/sanction 1.authoritative permission or approval, as for an action. 2.something that serves to support an action, condition, etc. 3.something that gives binding force, as to an oath, rule of conduct, etc. Sanctions can mean any measure to control another state (check this cite) (T/S econ sanctions – but that’s a CAN, not limiting) West's Encyclopedia of American Law, edition 2. Copyright 2008 The Gale Group, Inc. All rights reserved, http://legal-dictionary.thefreedictionary.com/sanction Sanction is a broad term with different meanings in different contexts. Sanction can be used to describe tacit or explicit approval. Used in this sense, the term usually is used in assigning liability to a party who was not actively involved in wrongdoing but who did nothing to prevent it. For example, if the upper-level managers of a business knew that their employees were using unfair employment practices and did nothing to stop them, it may be said that the managers sanctioned the unfair practices. The term sanction also can describe disagreement and condemnation. In Criminal Law, a sanction is the punishment for a criminal offense. The criminal sanction for a criminal defendant varies according to the crime and includes such measures as death, incarceration, Probation, community service, and monetary fines. In Civil Law, a sanction is that part of a law that assigns a penalty for violation of the law's provisions. The most common civil sanction is a monetary fine, but other types of sanctions exist. Depending on the case, a sanction may be the suspension or revocation of a business, professional, or hobby license, or a court order commanding a person to do or refrain from doing something. A sanction may even be tailored to the case at hand. For instance, under rule 37 of the Federal Rules of Civil Procedure, if a party refuses to obey a discovery order, or an order to relinquish requested evidence, the court may order that the evidence sought be automatically construed in favor of the requesting party, refuse to allow the disobedient party to make claims or defenses related to the evidence, stay or postpone the case until the discovery order is obeyed, dismiss the action or render judgment for the requesting party, declare the disobedient party in Contempt of court, or make any other order that is just under the circumstances. In civil litigation, sanctions are slightly different from remedies. A remedy is the relief accorded to a victorious litigant. The remedy may be money damages, an order that forbids or commands the opposing party or parties to do or refrain from doing a certain act or acts, or some other result favorable to the victorious litigant. Remedies are not always intended to punish a person, while sanctions are always punitive. Nevertheless, remedies and sanctions are similar in that they refer to a loss that a civil litigant must bear if she is found liable for a civil wrong. In some cases a party may have to remedy another party's loss as well as suffer criminal and civil sanctions, all for the same act. For example, if an attorney is professionally negligent in his handling of a client's case and steals funds from the client's trust account, the attorney may face a Malpractice civil suit from the aggrieved client in which the client asks for money as a remedy for the malpractice. The attorney also may suffer sanctions from the professional conduct committee of the state bar association and criminal sanctions from a prosecution for the theft. The contempt-ofcourt offense provides a flexible form of sanction. Contempt-of-court sanctions may be either civil or criminal. The court may order a party to pay a fine or suffer some setback in the case (civil contempt), or it may order that the party be placed in jail (criminal contempt). The basic difference between the two is that criminal contempt is an act of disrespect toward the court, whereas civil contempt acts tend to be less offensive transgressions, such as the unintentional failure to comply with discovery orders or to perform other acts ordered by the court. A common form of sanction is the Administrative Agency sanction against a corporation. Corporations must follow various rules passed by federal, state, and local administrative agencies authorized by lawmaking bodies to regulate specific topics of government concern. If a business does not obey agency rules that apply to it, it may face sanctions levied by the administrative agency responsible for enforcing the rules. For example, federal and state environmental protection agencies are authorized by statute to levy fines against businesses that violate environmental laws and regulations. An international sanction is a special form of sanction taken by one country against another. International sanctions are measures that are designed to bring a delinquent or renegade state into compliance with expected rules of conduct. International sanctions may be either non-forceful or military. Military sanctions can range from cutting off access to limited strikes to full-scale war. Non-forceful international sanctions include diplomatic measures such as the withdrawal of an ambassador, the severing of diplomatic relations, or the filing of a protest with the United Nations; financial sanctions such as denying aid or cutting off access to financial institutions; and economic sanctions such as partial or total trade embargoes. The U.N. Security Council has the authority to impose economic and military sanctions on nations that pose a threat to peace. Sanctions are any rule Merriam-Webster, 2013,http://www.merriam-webster.com/dictionary/sanction Definition of SANCTION 1: a formal decree; especially : an ecclesiastical decree 2 a obsolete : a solemn agreement : oath b : something that makes an oath binding 3 : the detriment, loss of reward, or coercive intervention annexed to a violation of a law as a means of enforcing the law 4 a : a consideration, principle, or influence (as of conscience) that impels to moral action or determines moral judgment b : a mechanism of social control for enforcing a society's standards c : explicit or official approval, permission, or ratification : approbation 5: an economic or military coercive measure adopted usually by several nations in concert for forcing a nation violating international law to desist or yield to adjudication Tariffs http://www.fee.org/the_freeman/detail/the-fair-trade-myth In fact, it can be argued that the United States is the unfair trader. James Bovard points out in The Fair Trade Fraud (reviewed on page 282 of this issue) that America has over 8,000 tariffs, 3,000 clothing and textile import quotas, and a variety of quotas and other nontariff barriers for steel, autos, sugar, dairy products, peanuts, cotton, beef, machine tools and other industrial products. For example, America limits imports of ice cream to the equivalent of one teaspoon per person each year, and foreign peanuts to two per person . Such restrictions reduce competition, raise prices, decrease variety, and cost American consumers $80 billion per year, or $1,200 per family. AT: education 1. bad standard a. begs question b. inevitable 2. No education net benefits – topical version of aff 3. Unlimiting destroys education AT: ground 1. bad standard a. begs question b. inevitable 2. No ground net benefits – topical version of aff 3. limits turn ground AT: reasonability 1. vote neg – reasonably topical? Also reasonably untopical 2. not reasonable – limits proves 3. Reasonability is arbitrary, varies from judge to judge, and takes the debate out of the hands of the debaters – competing interpretations is the only objective way because we compare evidence 4. Potential abuse is a voter – over-stretches our research burden and preparedness for the debate 5. Competing interpretations good – equips debaters with the ability to engage in analytical debate based on precise standards of evaluation. Reasonability is arbitrary and jackknifes meaningful analysis of interpretations. 6. Infinitely regressive – there’s no brightline for what is and what is not reasonable. Teams will always push these limits to catch the neg unprepared – we have evidentiary support Stone ‘23 [Justice in the Circuit Court of Appeals, 8th Circuit. Sussex Land & Live Stock Co v. Midwest Refining Co, 1923. Lexis//Cal-JV] Where the use of land affects others, the use must be "reasonable" to escape liability for resultant damage to others. What is "reasonable" depends upon a variety of considerations and circumstances. It is an elastic term which is of declared certain limitations beyond which it cannot extend. One of these limitations is that it is "unreasonable" and unlawful for one owner to physically invade the land of another owner. There can be no damnum absque injuria where there is such a trespass. Counterplans Cuba CP Cuba CP Cuba has potential but no industry Jonathan Specht, legal advisor, B.A from LSU and GD from Washington University in St. Louis, 4-24-2013 [“Raising Cane: Cuban Sugarcane Ethanol’s Economic and Environmental Effects on the United States”, http://environs.law.ucdavis.edu/issues/36/2/specht.pdf]/sbhag To speak of a Cuban sugarcane-based ethanol industry is, at this point, largely a matter of speculation. 46 Because of the anti-ethanol views of Fidel Castro (who has said that ethanol should be discoura ged because it diverts crops from food to fuel), 47 Cuba currently has almost no ethanol industry. In the words of Ronald Soligo and Amy Myers Jaffe of the Brookings Institution, “Despite the fact that Cuba is dependent on oil imports and is aware of the demonstrated success of Brazil in using ethanol to achieve energy selfsufficiency, it has not embarked on a policy to develop a larger ethanol industry from sugarcane.” 48 There is, however, no reason why such an industry cannot be developed. As Soligo and Jaffe wrote, “In addition, Cuba has large land areas that once produced sugar but now lie idle. These could be revived to provide a basis for a worldclass ethanol industry. We estimate that if Cuba achieves the yield levels attained in Nicaragua and Brazil and the area planted with sugarcane approaches levels seen in the 1970s and 1980s, Cuba coul d produce up to 2 billion gallons of sugar-based ethanol per year.” 49 Importing ethanol is inevitable Jonathan Specht, legal advisor, B.A from LSU and GD from Washington University in St. Louis, 4-24-2013 [“Raising Cane: Cuban Sugarcane Ethanol’s Economic and Environmental Effects on the United States”, http://environs.law.ucdavis.edu/issues/36/2/specht.pdf]/sbhag Imported ethanol from non-corn sources may be an increasingly popular means of reducing U.S. fossil fuel dependence for two reasons in particular. First, the transition from corn-based to cellulosic ethanol is difficult. Second, the RFS caps the amount of ethanol from corn that can be blended into U.S. fuel at 15 billion gallons per year by 2022. 136 In coming years the amount of ethanol imported into the United States is likely to increase by a significant amount unless Congress revives the ethanol tariff. If both U.S. ethanol import restrictions and the ethanol blending tax credit were eliminated (as happened at the end of 2011), imports of ethanol into the United States would more than double. 137 That being said, lack of an industry means no one is talking about cuba (get better card this one gives credence to US says no) Jonathan Specht, legal advisor, B.A from LSU and GD from Washington University in St. Louis, 4-24-2013 [“Raising Cane: Cuban Sugarcane Ethanol’s Economic and Environmental Effects on the United States”, http://environs.law.ucdavis.edu/issues/36/2/specht.pdf]/sbhag The possibility of importing ethanol from Cuba has been almost completely ignored in U.S. political discourse. 198 Yet, it will almost certainly become a more prominent issue after the Castro era ends and the United States moves toward normalizing trade relations with Cuba. Sooner or later, it is likely that the issue will even come up in presidential campaign s. It is thus particularly salient that the two states that would arguably have the most to lose or gain from the importation of Cuban sugarcane-based ethanol, Iowa 199 and Florida, are the archetypal political battleground states in presidential elections. Cuba should encourage the purchase of Flex Fuel vehicles. That builds domestic ethanol demand in Cuba, a precondition to solvency, but instituting the plan too early scares Cuba away Jonathan Specht, legal advisor, B.A from LSU and GD from Washington University in St. Louis, 4-24-2013 [“Raising Cane: Cuban Sugarcane Ethanol’s Economic and Environmental Effects on the United States”, http://environs.law.ucdavis.edu/issues/36/2/specht.pdf]/sbhag The ideal domestic policy scenario for the creation of a robust Cuban sugarcane ethanol industry would be a situation in which: the U.S. trade embargo on Cuba is ended; U.S. tariff barriers are removed (in the case of sugar) or not revived (in the case of ethanol); and the RFS requiring that a certain percentage of U.S. fuel come from ethanol remain in place. Of course, changes in United States policy alone, even those that ensure a steady source of demand for Cuban sugarcane-based ethanol, would not be enough to create an ethanol industry from scratch. Cuba will need to foster the industry as a key goal of the post-Castro era and shape its domestic policies to encourage the growth of the industry. Given that the Cuban sugar industry lived and died by its ties with the Soviet Union for several decades of the Twentieth Century, 50 Cuba will likely be quite wary of investing too much in the creation of a sugarcane ethanol industry that it perceives as being largely a creature of U.S. energy and agricultural policy. Therefore, the creation of a significant sugarcane ethanol industry in Cuba will require a large increase in domestic demand for ethanol. One way that Cuba could encourage domestic demand for ethanol would be to follow the Brazilian model of encouraging the purchase of Flex Fuel vehicles, which can run on any blend of fuel between 100% gasoline and 100% ethanol. 51 Given the relative poverty of Cuba’s population, as indicated by the number of vehicles in the country that are several decades old, 52 expecting new vehicles to provide a source of demand for ethanol may be an extremely unrealistic prospect. On the other hand, potential pent-up demand for new automobiles, alongside sufficient and well-directed government incentives, could accelerate demand for Flex Fuel vehicles relative to other countries. Like all new capitalist industries to emerge in the post-Castro era, whatever ethanol industry arises will have to deal with the painful transition from socialism to capitalism. The Cuban sugarcane ethanol industry will face similar challenges to other private sector industries that arise in the post-Fidel era. One of these challenges will be simply a lack of people with skills necessary for any industry. According to Edward Gonzalez and Kevin McCarthy of the RAND Corporation, “[A]s a result of 40-plus years of communism, the labor force lacks the kinds of trained managers, accountants, auditors, bankers, insurers, etc., that a robust market economy requires.” 53 While these challenges will not be unique to Cuba’s ethanol industry, they will put the country at a competitive disadvantage vis-à-vis existing ethanol exporters such as Brazil. This will be especially true if there is a significant lag time between the expiration of the ethanol tariff barriers at the end of 2011 and the eventual removal of the United States trade embargo against Cuba. Additionally, because Cuba’s ethanol industry is currently almost non- existent, it will need a great deal of foreign expertise and investment to get started. However, such investments are unlikely to be made unless Cuba makes fundamental changes in its business climate. In the words of Gonzalez and McCarthy, “[C]apital investment, which Cuba’s economy desperately needs and which is most likely to be supplied by foreign investors, will be difficult to attract without enforceable contracts, access to neutral adjudication of disputes, and a degree of predictability that has heretofore been lacking.” 54 Any post- Castro government will likely begin to make such changes to increase the appeal of the island nation to foreign investment. However, implementing these changes will take time and trial and error, which will slow the creation of a sugarcane-based ethanol industry. 2NC Overview Solves - Creates demand Prerequisite a. Domestic demand b. Foreign investment Delay CP - results in plan AT: Perm 1. Links to net benefit – 2. Cart before the horse DA – neither the plan nor the perm solve – <> – perception link is low threshold AT: US “says no” / doesn’t lift embargo Links to politics? AT: Not in time XA 20 years anyways AT: Object fiat 1. arbitrary 2. 2ac addons make inevitable 3. grounded in literature 4. c/i 5. arg not team Florida CP Ashok Pandey et al, there are four authors and one gradudated from School of Applied Biological and Chemical Sciences, University of Ulster, the rest of the qualifications are in Spanish, 2k [“Biotechnological potential of agroindustrial residues. I: sugarcane bagasse”, Bioresource Technology, Volume 74, Issue 1, August 2000, Pages 69–80, http://www.sciencedirect.com/science/article/pii/S096085249900142X]/sbhag ** SHRUNKEN TEXT CONTAINS SCIENCE NO ARGUMENTS: WHY ELSE WOULD WORD THINK THERE ARE SO MANY MISSPELLINGS? YOU HAVE BEEN WARNED Advances in industrial biotechnology offer potential opportunities for economic utilization of agro-industrial residues such as sugarcane bagasse. Sugarcane bagasse, which is a complex material, is the major byproduct of the sugar cane industry. It contains about 50% cellulose, 25% hemicellulose and 25% lignin. Due to its abundant availability, it can serve as an ideal substrate for microbial processes for the production of value-added products. Attempts have been made to produce from bagasse substrate protein-enriched animal feed, enzymes, amino acids, organic acids and compounds of pharmaceutical importance, etc. Often, a pre-treatment process has resulted in improved substrate utilization by the microbes. Application of solid-state fermentation technology could be an attractive possibility for such bioconversions. This article reviews the recent developments on processes and products developed for the value addition of sugarcane bagasse through the biotechnological means. Emphasis has been given on more recent developments of the past 8–10 years. Keywords Sugarcane bagasse; Submerged fermentation; Solid state fermentation; Biotechnological applications 1. Introduction Cellulose, the major constituent of all plant materials, forms about half to one-third of plant tissues and is constantly replenished by photosynthesis. One of the largest cellulosic agro-industrial byproducts is sugarcane bagasse (or, ‘bagasse’ as it is generally called), a fibrous residue of cane stalks left over after the crushing and extraction of the juice from the sugar cane. It is a ligno-cellulosic residue (by-product) of the sugar industry and is almost completely used by the sugar factories themselves as fuel for the boilers. In recent years, there has been an increasing trend towards more efficient utilization of agro-industrial residues, including sugarcane bagasse. Several processes and products have been reported that utilize sugarcane bagasse as a raw material. These include electricity generation, pulp and paper production, and products based on fermentation. In the present article, we intend to limit our scope on the application of bagasse for the bioconversion processes only. The various products, which have been obtained from the processes involving bagasse include chemicals and metabolites such as alcohol and alkaloids, mushrooms, protein-enriched animal feed (‘single cell protein’), and enzymes. One of the significant applications of bagasse has been for the production of protein-enriched cattle feed and enzymes. The new awareness of the importance of utilizing renewable resources such as bagasse for value addition has led to the development of several processes for the production of protein-enriched cattle feed. Although the economy of such processes in submerged fermentation is severely affected by the high cost of product isolation (and low value of the product), simultaneous isolation and marketing of cellulases enzymes have made economics to recover somewhat. Similarly, although enzymatic saccharification of cellulose has been demonstrated to be uneconomical, cellulases are increasingly being used for the extraction of fruit juices, starch, and oil from woody materials. These enzymes can be recovered rather easily from fermented matter involving solid-state fermentation of bagasse, making this system appropriate for protein enrichment and cellulases production from bagasse. However, it remains a fact that in spite of these advances, the commercial exploitation of bagasse-based processes remains limited. Bagasse could also have been used for the production of biofuel (ethanol). However, processes involving bagasse for ethanol production do require it in substantial quantity. This would affect the supply of fuel for the sugar mills and would necessitate the search for an alternative fuel for them, which has so far largely been unsuccessful (mainly due to economical reasons). In addition, ethanol production from bagasse needs its hydrolysis, which requires large quantities of cellulase enzymes for saccharification. As processes for the production of cellulases are presently quite expensive and economically unfeasible, such bioconversion appears unattractive. Thus, much effort would be needed to develop the technology for economical production of saccharifying enzymes and also improve the condition of hydrolysis. Another aspect in this regard would be the final application of ethanol so produced. In this regard, it would be worth mentioning here the Brazilian Biofuel Programme for cars, which largely has not been successful, due to various reasons, on a global scenario. The experiment has shown that the system is not, overall, commercially viable. Such a programme, however, may eventually be considered useful under special circumstances at special geographical locations such as Brazil or other countries with no or limited oil reserves. As mentioned previously, almost the entire quantity of the bagasse produced is used by the sugar mills themselves as fuel for boilers, which is necessity-based economical and an efficient application. However, processes such as production of enzymes and other products (e.g., drugs) utilizing bagasse as solid substrate/support would need relatively a small fraction of total bagasse. This may not affect its supply to the sugar mills and thus appears attractive for bioprocesses. If such demands still disrupt or tend to disrupt the bagasse supply to the mills (although surely at a much lesser extent), this could be covered by more efficient furnaces in the mills. 2. Composition of bagasse Bagasse consists of approximately 50% cellulose and 25% each of hemicellulose and lignin. Chemically, bagasse contains about 50% α-cellulose, 30% pentosans, and 2.4% ash. Because of its low ash content, bagasse offers numerous advantages in comparison to other crop residues such as rice straw and wheat straw, which have 17.5% and 11.0%, respectively, ash contents, for usage in bioconversion processes using microbial cultures. Also, in comparison to other agricultural residues, bagasse can be considered as a rich solar energy reservoir due to its high yields (about 80 t/ha in comparison to about 1, 2, and 20 t/ha for wheat, other grasses and trees, respectively) and annual regeneration capacity. 3. Microbial strains cultivated on bagasse Over the years, a large number of micro-organisms including bacteria, yeasts and fungi have been used for cultivation on bagasse. However, filamentous fungi, especially basidiomycetes are the preferred choice for enzyme production and protein enrichment and have most widely been employed. A list of different micro-organisms cultivated on the bagasse for varying purpose by different workers is given in Table 1. Table 1. Micro-organisms cultivated on bagasse Micro-organism References Acinetobacter calcoaceticus Valino et al. (1997a,b) Agrocybe aegarita A1 Zadrazil and Puniya (1995) Aspergillus ellipticus Gupte and Madamwar (1997a) A. fumigatus Gupte and Madamwar (1997a,b) A. niger Acuna-Arguelles et al., 1994, Cordova-Lopez et al., 1996, Huerta et al., 1994, Ray et al., 1993 and Solis-Pereyra et al., 1996 A. ochraceus Biswas et al. (1988) A. phoenicis Gutierrez-Correa and Tengerdy (1998), Duenas et al. (1995) Athelia sp. Breccia et al. (1997) Brevibacterium sp. Nampoothiri and Pandey (1996) Candida blankii Meyer et al. (1992) C. tropicalis Pessoa et al. (1996) C. utilis Christen et al. (1993), Zayed and Mostafa (1992) Cellulomonas flavigena Rodriguez-Vazquez et al. (1992), Perezavalos et al. (1996) Cephalosporium sp. Valino et al. (1997) Ceratocystis fimbriata Christen et al. (1994) Chaetomium cellulolyticum Bravo et al. (1994) Claviceps purpurea Harnandez et al. (1993) Clostridium saccharoperbutylacetonicum Chin et al. (1991) E. faecium Iritani et al. (1995) F. velutipes Pal et al. (1995) Fusarium oxysporum Sharma et al. (1991) Ganoderma applantum Breccia et al. (1997) Gibberella fujikuroi Tosmani et al. (1997) Hyphodontia sp. Breccia et al. (1997) Klebsiella oxytoca Doran et al. (1994) Kuehneromyces mutabilis Zadrazil and Punia (1995) Melanocarpus albomyces IIS-68 Jain (1995) M. purpureus Chiu and Chan (1992) Neocallimastix Teunissen et al. (1993) Neurospora sitophila MooYoung et al. (1993) Panus tigrinus Breccia et al. (1997) P. chrysogenum Barrios-Gonzalez et al. (1993), Sharma et al. (1991) Phellinus punctatus Breccia et al. (1997) Phlebia sp. Breccia et al. (1997) Pichia stipitis Roberto et al. (1991a) Piromyces sp. Teunissen et al. (1992, 1993) Pleurotus sp. P7 Zadrazil and Puniya (1995) P. cornucopiae Chaudhary et al. (1994) P. eryngii Zadrazil and Puniya (1995) P. florida Chaudhary et al. (1994) P. ostreatus Elsayed et al. (1994) P. sajor-caju Puniya et al. (1996) Polyporus sp. Nigam, 1990, Nigam et al., 1987a and Nigam et al., 1987b R. oryzae Soccol et al. (1994) Schwanniomyces castellii Saucedo-Castaneda et al. (1992) Spongipellis pachyodon Breccia et al. (1997) Stereum sp. Breccia et al. (1997) Streptomyces sp. Iyo and Antai, 1991, Modi et al. (1994) T. versicolor Pal et al. (1995) Trichoderma harzianum Roussos et al. (1992a), Kalra et al. (1984) T. longibranchiatum Sidhu et al. (1983) T. reesei Gutierrez-Correa and Tengerdy, 1997, Gutierrez-Correa and Tengerdy, 1998, Duenas et al., 1995 and Aiello et al., 1996 T. viride Sharma et al. (1991) Xanthomonas sp. Roudriguez-Vazquez et al. (1992) Table options 4. Pre-treatment of bagasse Pre-treatment of bagasse has often been found useful to improve its digestibility and easy access for microbial attack (by removing core and noncore lignin fractions) Alani and Smith, 1988 and Doran et al., 1994. The pre-treatment results in enlargement of the inner surface area of substrate particles, accomplished by partial solubilization and/or degradation of hemicellulose and lignin. This leads the fractio nation of the three components and opening of cellulose structure. Several physical and chemical methods are employed for the pre-treatment, which include steam explosion, gamma radiation, treatment with alkali, hydrogen peroxide, solvents, etc. Among thes e, chemical pre-treatments (e.g., treatment with alkali such as NaOH solution) have been found effective and economical. Rodriguez-Vazguez et al. (1992) treated bagasse (pith) with a solution of sodium hydroxide in such a low volume that no free liquid was present. They referred it as a dry pre-treatment and compared it with a wet pre-treatment. Maximum digestibility with dry and wet pre-treated bagasse was 75% and 71%, respectively. Biomass production was also higher in the dry process. Rodriguez -Vazgues and Diazcervantes (1994) compared various chemical solutions, such as hydroxides of sodium, ammonium, and calcium and hydrogen peroxide, for their efficiency of use in a dry process, which revealed fermentation data in decreasing order as NaOH, Ca(OH)2, NH4OH, and H2O2.Bravo et al. (1994) treated bagasse with water or alkali at three liquid/solid ratios before using it as substrate for microbial protein production. The treatment significantly enhanced fungal growth compared to nontreated bagasse. Aiello et al. (1996) also used sodium hydroxide at various temperatures to pretreat the bagasse for fungal cultivation. Du -Toit et al. (1984) compared pretreatments of bagasse with dilute alkali and acid for the determination of the monosaccharides present in bagasse hemicellulose. The pentosan fraction of the bagasse was successfully hydrolysed and extracted with 5% (m/v) HCl. Treatment with dilute alkali resulted in 39.8% solubilization of bagasse, but only about 72% of the available hemicellulose could be extracted in this way. A thermochemical pre-treatment of bagasse involved autoclaving with a binary solvent, composed of water and organic solvent having an upper critical temperature (UCT) on the mutual solubility curve. The pre-treatment was termed as ‘UCT-solvent pre-treatment’ and proved to be of significant potential (Kurakake et al., 1991). Alkaline hydrogen peroxide treatment of bagasse was also found effective in improving its digestibility Amjed et al., 1992 and Azzam, 1989. Azzam studied the pre-treatment of bagasse with gamma irradiation, coupled with an acid or alkali, which resulted in improved production of biomass protein and in vitro rumen digestibility. Kling et al. (1987) studied the possibilities of a steam explosion pre-treatment of bagasse in terms of hemicellulose solubilization and enhancement of enzymatic hydrolysis. The pre-treatment led to a significant improvement of sugar yield through enzymatic saccharification. 5. Bioprocess techniques The processes involving cultivation of microbes on bagasse can be broadly classified into two groups: processes based on liquid fermentation, and processes based on solid-state fermentation (SSF). Liquid fermentation processes (submerged fermentation (SmF)) can be subdivided into two categories: one in which the whole bagasse is used as the substrate, and others in which bagasse is hydrolysed and the hydrolysate is used as the substrate. SSF can also be divided into two sub-groups: one in which bagasse is used as the source of carbon (energy), and others in which it is used as an inert solid support. 6. Application of bagasse in SmF processes 6.1. Processes involving whole-bagasse Several processes have been reported for the production of enzymes, ethanol, single-cell protein (SCP), etc., on whole-bagasse or treated-bagasse in SmF (Nigam and Prabhu, 1991, Nigam et al., 1987a, Nigam et al., 1987b, Nigam et al., 1988, Zayed and Mostafa, 1992, Azzam, 1992, Rodriguez-Vazguez et al., 1992, Rodriguez-Vazguez and Diazcervantes, 1994, Perezavalos et al., 1996, Aiello et al., 1996 and Breccia et al., 1997). Table 2shows some e xamples of the application of bagasse in SmF. Table 2. Products of SmF of bagasse Products References Ethanol Roberto et al., 1991a, Vanzyl et al., 1991, Katzen and Fowler, 1994, Gong et al., 1993 and Vanwalsum et al., 1996 Xylitol Roberto et al., 1991b, Roberto et al., 1995, Gurgel et al., 1995, Dominguez et al., 1996, Felipe et al., 1997b, Felipe et al., 1996, Felipe et al., 1997a, Rodrigues et al., 1998, Alves et al., 1998, Sene et al., 1998 and Silva et al., 1997 SCP/protein enriched feed Nigam et al., 1987a, Nigam et al., 1987b, Zayed and Mostafa, 1992, Azzam, 1992, Rodriguez-Vazguez et al., 1992, Katzen and Fowler, 1994, Rodriguez-Vazguez and Diazcervantes, 1994, Elsayed et al., 1994, Pessoa et al., 1996 and Aiello et al., 1996 Mycoprotein MooYoung et al. (1993) Aroma Christen et al. (1994) Cellulases and ligninases Nigam and Prabhu, 1991, Teunissen et al., 1992, Teunissen et al., 1993, Ray et al., 1993, Aiello et al., 1996 and Breccia et al., 1997 Xylanases Milagres et al., 1993, Teunissen et al., 1992, Teunissen et al., 1993, Jain, 1995 and Perezavalos et al., 1996 Table options One of the most widely studied aspects of bagasse application has been on cellulolytic enzymes production. Generally basidiomycetes have been employed for this purpose, the isolates produced extra-cellular cellulases (exo-glucanase, endo-glucanase and β-glucosidase) and ligninases Kalra et al., 1984, Sidhu et al., 1983, Nigam and Prabhu, 1991, Nigam et al., 1987a, Nigam et al. , 1988 and Sarkar and Prabhu, 1983. Aiello et al. (1996) used a strain of Trichoderma reesei QM-9414 for cellulase and biomass production from bagasse. Enzyme yields were higher when alkali-treated bagasse was used, although the difference was very small. Several white-rot fungi were successfully used by Breccia et al. (1997) for the degradation of long-fibre bagasse. All the cultures showed ligninolytic enzymes activity but no correlation was found between the amount of enzymes secreted and the residual composition of the bagasse. Most of the strains caused an increase in the relative concentration of residual cellulose, indicating that hemicellulose was the preferred carbon source. Teunissen et al., 1992 and Teunissen et al., 1993 used three anaerobic fungi to produce cellulolytic and xylanolytic enzymes from a range of substrates including bagasse. Bagasse was a good inducer for xylanolytic enzymes but not for the cellulolytic enzymes. Enzyme activities were generally lower after growth on glucose and other soluble sugars. SDS-PAGE pattern showed that the differences in enzyme activities were not the result of secretion of different sets of isoenzymes, although it could be possible that the relative amount of each isoenzyme produced was influenced by the growth substrate. These enzymes were produced constitutively. Milagres et al. (1993) reported the production of xylanase by a local fungal isolate in which the enzyme activity was inducible by bagasse. Another important application of bagasse has been for the production of SCP or protein-enriched cattle feed. Attempts have been made to develop mixed cultures for simultaneous saccharification and fermentation, a process that offers unique advantages (Pandey et al., 1988). Azzam (1992) used a defined mixed culture for biomass production on bagasse. The growth of the two micro-organisms was followed by the production of biomass protein and the in vitro rumen digestibility. The biomass contained 35.5% crude protein and had 69.8% digestibility. Mixed cultures were also used by other workers for SCP production from bagasse or bagasse pith (Rodriguez-Vazquez and Diazcervantes, 1994; Ponce and de-la-Torre, 1993; Molina et al., 1983, 1984). Elsayed et al. (1994) cultivated a fungal strain on bagasse (whole and treated), and after 14 days, an increment of 22.6% of crude protein content in the fermented substrate was observed. MooYoung et al. (1993) cultivated a food-grade fungus on bagasse for food- and fodder-grade mycoprotein production. Felber et al. (1988) carried out an extensive study on the pre-treatment, enzyme production, hydrolysis, by-product utilization, and energy supply in the degradation of bagasse. Ethanol, SCP, furfural or furfurylic alcohols were the main products produced. 6.2. Processes involving bagasse hydrolysate The hemicellulose fraction of bagasse has no utility for steam and power generation. Thus, if it can be hydrolysed (partially or completely), it can provide a good substrate for microbial cultivation. The hemicellulosic hydrolysate consists of, mainly, xylose, glucose, mannose, arabinose, galactose and traces of other sugars. The pentosan component of hemicellulose contains mainly d-xylose and a smaller quantity of arabinose. It, however, may also contain substances (depending upon the type of hydrolysis), which could exert toxic effects on micro-organisms. These inhibitory effects, however, could be overcome by the treatment of hydrolysate by various methods, such as treatment with bases or acid, etc. Roberto et al., 1991b, Dominguez et al., 1996 and Alves et al., 1998. Bagasse hemicellulose hydrolysate has been used for the production of enzymes, SCP, ethanol, xylitol, etc. Chin et al., 1991, Meyer et al., 1992, Roberto et al., 1991a, Roberto et al., 1991b, Katzen and Fowler, 1994, Purchase, 1995, Felipe et al., 1996, Felipe et al., 1997a, Pessoa et al., 1996, Pessoa et al., 1997, Dominguez et al., 1 996 and Sene et al., 1998. Ethanol production has been widely studied, from bagasse hydrolysate. An advanced technology was developed by BioEnergy International to convert 5- and 6-carbon sugars into ethanol. The technology utilized novel recombinant strains of bacteria to ferment. A patent was granted to the Purdue Research Foundation (1982) on production of ethanol from hemicellulose waste, such as sugarcane bagasse. Roberto et al. (1991a) investigated ethanol formation by four yeast strains in the bagasse hydrolysate. They compared yeast performance in alkali-treated- and untreated-hydrolysate. Fermentation with treated hydrolysate showed an extended lag phase. Gong et al. (1993) reported inhibition of cell growth and ethanol production by yeasts in alkali-treated bagasse hydrolysate. Treating hydrolysates with either ion-exchange resins or with acidified, activated charcoal, however, could alleviate this inhibition. An acid hydrolysate of bagasse containing xylose, glucose, arabinose, and acetic acid was fermented to ethanol with a yield of 0.27 g. g−1. Fermentation with hydrolysate after removing (84%) acetic acid resulted in higher ethanol yields (0.37 g. g−1) (Vanzyl et al., 1991). Vanwalsum et al. (1996) developed a process to convert bagasse into ethanol using hydrolysate prepared from hot water under pressure. This involved the treatment of bagasse with water at 220oC (5 Mpa, 120 s) and batch simultaneous saccharification and fermentation with S. cerevisiae and T. reesei cellulase. The hydrolysate produced showed a slight inhibition for the yeast strain. Xylitol, which is an important substitute for sucrose and finds many applications in the food industry, is another important product produced from bagasse hydrolysate. In a recent review, Nigam and Singh (1995) discussed processes for fermentative production of xylitol. A comparative study on xylitol production with an approach for the utilization of agro-industrial residues revealed bagasse hydrolysate as the one giving the highest xylitol production rate Roberto et al., 1995 and Rodrigues et al., 1998 evaluated batch, fed-batch, and semi-continuous fermentation for xylitol production from bagasse hydrolysate. Best results were achieved by a semi-continuous process. Felipe et al. (1996, 1997a,b) studied environmental parameters affecting xylitol production from bagasse hydrolysate. The bioconversion was affected by cell inoculum level, age of inoculum, hydrolysate concentration, and pH. Xylitol production also markedly depended on aeration rate and on the adaptation of the yeast culture to the hydrolysate. A suitable control of the oxygen input was necessary for efficient xylitol production (Silva et al., 1997). Sene et al. (1998) found that adaptation and reutilization of yeast cells increased xylitol productivity by 15%. Xylitol recovery from the fermented hydrolysate has been an important aspect. Gurgel et al. (1995) used activated carbon to clarify the fermented broth, which after treatment with ion-exchange resin was used for crystallization of xylitol. 7. Application of bagasse in SSF processes Bioprocessing of agro-industrial residues in SSF has often been found very efficient. There has been a wide-spread resurgence of SSF all over the world due to several advantages it offers, mainly on engineering aspects Hesseltine, 1977, Aidoo et al., 1982, Pandey, 1991a, Pandey, 1991b, Pandey, 1992, Pandey, 1994, Nigam and Singh, 1994 and Soccol and Krieger, 1998. Numerous SSF processes have been developed in which bagasse has been used as the solid substrate. While in most of the processes, it has been used as the carbon (energy) source, in some processes it has been used as the solid inert support. 7.1. Processes involving bagasse as C-source Bagasse has most commonly been used for the production of protein-enriched animal feed by SSF, employing yeasts and fungi. A number of reports have appeared on production of animal feed in recent years (Table 3). Nigam et al. (1987a) and Nigam (1990) investigated solid state fermentation of bagasse for animal feed production using basidiomycetes. The C/N ratio and initial moisture were critical factors. Zadrazil and Puniya (1995) differentiated bagasse into four fractions of particle size (<1, 1–3 mm, 3–5 mm and 5–10 mm) with a view to enhancing its nutritive value as animal feed. They found varying degrees of degradation by white-rot fungi and also variation in in vitro rumen digestions. It was concluded that the mechanical separation of a substrate into different particle sizes could be useful if it was utilized as a substrate to be fermented by filamentous fungi to produce animal feed. Puniya et al. (1996) subjected bagasse to SSF using a strain of P. sajor-caju in a closed system, with the aim of optimising the gaseous atmosphere and developing a cost-effective and simple technology for animalfeed production. They found that the application of gases during SSF without disrupting mycelial growth and substrate content was the key to the suitability of this technology. Iyo and Antai (1991) achieved 21% crude protein in bagasse after 12 weeks cultivation of a fungal strain of Streptomyces, which resulted in 45% depletion of lignocelluloses. A patent was obtained on the application of bagasse, softened with alkali treatment, for feedstuff, fertilizer, and sweetener by cultivating Enterococcus faecium in SSF (Iritani et al., 1995). Chaudhary et al. (1994) also reported feedstuff production from bagasse using two strains of Pleurotus sp. Table 3. Products of SSF of bagasse Products References a. Used as carbon/energy source Protein enriched feed Nigam, 1990, Nigam et al., 1987a, Nigam et al., 1987b, Zadrazil and Puniya, 1995, Bravo et al., 1994, Iyo and Antai, 1991, Rodriguez-Vazguez et al., 1992, Puniya et al., 1996, Iritani et al., 1995 and Chaudhary et al., 1994 Cellulases Sharma et al., 1991, Sharma et al., 1995, Ray et al., 1993, Gupte and Madamwar, 1994, Gupte and Madamwar, 1997a, Gupte and Madamwar, 1997 b, Gutierrez-Correa and Tengerdy, 1997, Gutierrez-Correa and Tengerdy, 1998, Duenas et al., 1995, Roussos et al., 1992a and Roussos et al., 1992b Laccase Pal et al., 1995 and Machado et al., 1996 Ligninase Nigam et al., 1987a, Nigam et al., 1987b and Machado et al., 1996 Mn-peroxidase Pal et al., 1995 and Machado et al., 1996 Phenol oxidase Pal et al., 1995 and Machado et al., 1996 Xylanase Jain, 1995, Gutierrez-Correa and Tengerdy, 1998 and Biswas et al., 1988 Aroma production Christen et al. (1994) Acetyl esterase Jain (1995) Gibberllic acid Tosmani et al. (1997) Fruity aroma Christen et al. (1997) Pigments Chiu and Chan (1992) Composting/Ensiling Baca et al., 1993 and Roussos et al., 1992b b. Used as inert carrier Glutamic acid Nampoothiri and Pandey (1996) Ergot alkaloids Hernandez et al. (1993) Lactic acid Soccol et al. (1994) Citric acid Lakshminarayana et al. (1975), Manonmani and Sreekantiah (1987), Pectinases Solis-Pereyra et al., 1996, Huerta et al., 1994 and Acuna-Arguelles et al., 1994 Penicillin Barrios-Gonzalez et al. (1993) Ethanol Navarro et al. (1982) Table options Amongst the various enzymes produced in SSF of bagasse, cellulases have most extensively been studied. It is well established that the hydrolysis of the lignocellulosic residues using enzymes largely depends upon the cost of the production of cellulases. Application of bagasse in SSF for this purpose appears attractive. Recently, Pandey et al., 1998a, Pandey et al., 1998b and Pandey et al., 1999 discussed bioconversion processes involving agro-industrial residues, such as bagasse, for their effective utilization to produce value-added products. Sharma et al., 1991 and Sharma et al., 1995 reported the production of cellulases from different fungal strains. A significant FPD activity was noted from Pencillium. chrysogenum, which, apart from the enzyme, also showed high levels of reducing sugars (glucose and xylose). They suggested an integral process for the production of ethanol, furfural, fermentable sugars and biogas from bagasse. Roussos et al. (1992a) used a mixture of bagasse and wheat bran (4:1) for the production of cellulases. They suggested hydraulic pressing as a good technique to leach out the enzymes from the fermented matter. Modi et al. (1994) reported higher yields of cellulase from a strain of Streptomyces sp. HM29 when grown on bagasse instead of rice straw, rye straw or corncobs. The yields were comparable with those obtained from rice bran but lower than those from wheat straw, wheat bran, and newspaper. Often, cultivation of two different strains as mixed culture and pre-treatment of bagasse has shown a desirable impact on fermentation. Gupte and Madamwar (1997a, b) reported that production of cellulolytic enzymes under SSF by co-culturing of two fungal strains showed improved hydrolytic and βglucosidase activities as compared to the occasions when they were used separately. Alkali pre-treatment improved the enzyme production (Gupte and Madamwar, 1994). Similarly, Gutierrez-Correa and Tengerdy (1997) also reported higher cellulase productivity in coculturing of a basidiomycete strain with another filamentous fungus. A mutual synergism was observed between the parent strain of T. reesei LM-UC4 and A. phoenicis QM 329, resulting in enhanced combined biomass production and corresponding increase in cellulase, endo-glucanase and βglucosidase activities. When coculturing was carried out using a mutant strain of T. reesei LM-UC4E1, such synergism was absent, suggesting that in the hypermutation the ability for cooperative interaction with other microbes was lost. Treatment of bagasse with ammonia (80%, w/w moisture content) resulted in higher enzyme productivity (Duenas et al., 1995). An extensive study was carried out by Pal et al. (1995) on SSF of bagasse using a strain of mushroom fungus and another of white-rot fungus, separately, for 40 days. Trametes versicolor produced laccase and manganese-peroxidase activities, showing a simultaneous degradation of lignin and holocellulose. However, only phenol-oxidase activity was found with Flammulina velutipes. A preferential degradation of lignin was detected in this case, which e xhibited a greater reduction in the ratio of weight loss to lignin loss than the other culture. Beaux et al. (1996) used a mixture of sugarcane bagasse with cassava bagasse for mushroom cultivation. Xylanase has been another enzyme produced in SSF of bagasse. Xylanases are typically important enzymes for the degradation of plant materials (hemicellulose, which is comprised mainly of xylan). Xylans are formed mainly by a chain of β-1,4 xylanopyranose units highly substituted by acetyl, arabinosyl, and glucopiranosyl residues. Most of the commercially available xylanases are being produced from fungi which are active at neutral or acidic pH and their optimum temperature for activity is below 45oC. Thermophilic xylanases, which are active at alkaline conditions, have great potential for industrial applications. Jain (1995) used a thermophilic fungus for t5he production of extra-cellular xylanase on various agro-residues, including bagasse. The fungus grew well on untreated bagasse and enzyme titres were lower when fungus was grown on treated (alkali or acid chlorite treatment) bagasse. Acetyl esterase was produced concurrently, maximal activity being with bagasse in comparison to other substrates. Gutierrez-Correa and Tengerdy (1998) also carried out xylanase production in SSF using bagasse. They co-cultured T. reesei and A. niger or A. phoenicis and achieved high xylanase titres (2600–2800 IU/g dry wt.). The range of SSF of bagasse increased further with the report appearing on production of other products, such as gibberellic acid. Tosmani et al. (1997) compared gibberellic acid production in SmF with SSF when the latter showed excellent fungal growth. 7.2. Processes involving bagasse as solid inert support SSF carried out on inert support materials, which differs from the process of microbial growth on or in solid particles floating in a liquid medium has been regarded as one of the future developments of SSF systems Aidoo et al., 1982, Pandey, 1991b and Pandey, 1992. The use of a solid inert material impregnated with suitable liquid media would provide homogenous aerobic conditions throughout the bioreactor and the purity of the product would also be relatively high. 7.2.1. Production of value-added products In a unique study, the first of its type, Nampoothiri and Pandey (1996) reported production of l-glutamic acid in which bagasse was impregnated with a medium containing glucose, urea, mineral salts, and vitamins. Maximum yields (80 mg glutamic acid/g dry bagasse) were obtained when bagasse of mixed particle size was fermented with 85%–90% moisture and 10% glucose. Impregnated bagasse was also used by Hernandez et al. (1993) to grow a fungus culture for the production of ergot alkaloids. They used a total of 16 different combinations of liquid media and concluded that there existed the possibilities of achieving tailor-made spectra of ergot alkaloids by changing the liquid nutrient media composition used for impregnation. Barrios-Gonzalez et al. (1993) studied the effect of particle size, packing density, and agitation on penicillin production in SSF using bagasse as an inert support. The use of a large particle size (14 mm) bagasse increased penicillin production by 37%. Christen et al., 1994 and Christen et al., 1997 reported production of a fruity aroma on bagasse when it was fermented with a nutritive medium containing glucose (200 g/l). Twentyfour compounds were separated and 20 of them were identified from the headspace analysis of the fermenter by GC. Aroma production was dependent on the growth and the maximum aroma intensity was detected at about time of the maximum respirometric activity. Soccol et al. (1994) evaluated the potential of bagasse, impregnated with a liquid medium containing glucose and calcium carbonate, to be used as an inert support, for lactic acid production fro m a strain of Rhizopus oryzae NRRL 395. Keeping glucose at 120 and 180 g/l for liquid and solid-state fermentation, yields of 93.8 and 137.0 g/l of L(+)-lactic acid were obtained, respectively. The productivity was 1.38 and 1.43 g/l/h in liquid- and solid-fermentations, respectively. Citric acid was another organic acid, which was produced in SSF using bagasse as an inert carrier (Lakshminarayana et al., 1975). Manonmani and Sreekantiah (1987) conducted citric acid production, using an enzymatic hydrolysate of alkali-treated bagasse, by SSF. Pectinases were produced in SSF using bagasse, impregnated with a high glucose concentration solution (Solis-Pereyra et al., 1996). The fermentation was carried out in a packed-bed column fermenter for SSF. In a similar study, Huerta et al. (1994) concluded that SSF carried out on inert substrates (they referred to it as the ‘adsorbed substrate fermentation’ technique) not only allowed the design of culture medium to produce important metabolites, but also the study of fungal metabolism in the artificially controlled SSF processes. Acuna-Arguelles et al. (1994) studied the effect of water activity on pectinases production using bagasse impregnated with a medium containing pectin and sucrose. Ethylene glycol, sorbitol and glycerol were used as water activity depressors. Results indicated that although polygalacturonase production decreased at low aw values, this activity was present at aw values as low as 0.90. The specific activity was increased up to 4.5-fold by reducing aw from 0.98 to 0.9. Chiu and Chan (1992) described production of pigments using bagasse in roller bottle cultures of Monascus purpurea. The fungus was cultivated in wet bagasse containing PGY medium with corn oil in SSF when it produced red and yellow pigments. 7.2.2. Growth and model studies Solid substrates of an inert nature offer several advantages in measurements of growth in SSF and have made it possible to study growth kinetics in SSF. Bagasse has been commonly employed for this purpose. Christen et al. (1993) successfully monitored the growth of C. utilis in a bagasse medium in SSF. Auria et al. (1993) conducted a study on the influence of mould growth on the pressure drop in aerated SSF using bagasse and wheat bran. T hey proposed the measurement of pressure drop (DELTAP) across an aerated fermentation bed as an alternative on-line sensor for the qualitative and, in some cases, quantitative, macroscopic changes in static SSF. Oriol et al., 1987 and Oriol et al., 1988 used bagasse impregnat ed with a liquid growth medium for studying growth kinetics of A. niger. Sugarcane bagasse pith has also been used to immobilize yeast cells for the ethanol production (Navarro et al., 1982). In an attempt to estimate fungal biomass in SSF, Cordova-Lopez et al. (1996) carried out direct hydrolysis of fungal mycelium grown on bagasse in SSF, followed by the analysis of soluble protein by the dye binding method. Hydrolysis with phosphoric acid for seven min. allowed maximum protein extraction and there was no colour interference by the medium components. They claimed that the method was useful for direct biomass estimation in SSF. Valino et al. (1997a) determined the effect of molasses B on the sugar cane bagasse microbiote and T. viride fungi. They used a completely randomized design with a 4×3 factorial arrangement. The fermentation process was controlled by evaluating ammonia, total and indivi dual VFA and pH. It was observed that the various proportions of molasses B used did not affect the ammonia concentration produced by the native bagasse microbiote and had a lethal effect on fungus sporulation. Valino et al. (1997b) have also studied the interactions between the microbiotes of bagasse and the strains of fungus Cephalosporium sp. and the bacterium Acinetobacter calcoaceticus in solid-state fermentation. The results showed a better adaptation of bagasse microbiote, which was more efficient in overcoming any undesirable effect when comparing the cultivation of the mixture of bacteria and fungi with each one separately. 8. Conclusions It can be concluded that bioconversion of bagasse could be economically advantageous in some cases, e.g., for the production of enzymes, amino acids, and drugs. Such processes require only small quantities of bagasse, which would not be difficult to obtain from the sugar factories. If such demands still disrupted or tended to disrupt the bagasse supply to the mills, this could be covered by improved fuel management, such as by using more efficient furnaces in the mills or by controlling the losses, etc. Diversion of bagasse in large quantity for any other purpose may disrupt the present set-up of sugar factories (its present use as fuel). This could be possible only if some alternative economical fuel for the sugar factories could be found (which so far has largely been unsuccessful). Hence, bioprocesses which need large quantities of bagasse could eventually be considered only if surplus bagasse availability were ensured to meet such demands. Ethanol production from bagasse needs renewed considerations. One important aspect in this regard would be to develop associated or complimentary technologies during the fuel ethanol programme, which could produce other value-added by-products whose sale would improve the overall economy of ethanol production. However, as ethanol is a low-value product, it would be worth exploring the possibilities of its end-use for the production of value-added products. Robert Rapier works in the energy industry and writes and speaks about energy and the environment. He has worked on cellulosic ethanol, butanol production, oil refining, natural gas production, and gas-to-liquids (GTL). He has a Master’s Degree in chemical engineering from Texas A&M University, and is presently employed as the Chief Technology Officer and Executive Vice President for Merica International, a renewable energy company, 8-172012 [“Why Sugarcane Bagasse is the Most Promising Pathway for Cellulosic Ethanol”, This article was originally published in Digest content partner site Energy Trends Insider, a free newsletter by Consumer Energy Report, which is geared toward financial and investment issues in the energy industry, http://www.biofuelsdigest.com/bdigest/2012/08/17/why-sugarcane-bagasse-is-the-most-promising-pathway-forcellulosic-ethanol]/sbhag The history of cellulosic ethanol is a lot longer than most people probably realize. In 1819, French chemist Henri Braconnot discovered how to break cellulose down into component sugars by treating biomass with sulfuric acid. Once sugars are released from cellulose, the solution can be fermented to ethanol in processes that are very similar to those used to produce corn ethanol or sugar cane ethanol . Regardless of the way the sugars are released, processes that produce ethanol from cellulosic sugars are collectively categorized as cellulosic ethanol. The Germa’commercialized cellulosic ethanol production from wood in 1898. The technology was commercialized in the U.S. in 1910, when Standard Alcohol Company built a cellulosic ethanol plant in South Carolina to convert lumber mill waste into ethanol. Standard Alcohol later built a second plant in Louisiana. Each plant was capable of producing over 5,000 gallons of ethanol per day from wood waste, and both were in production for several years before being idled for economic reasons. Many subsequent attempts were made to commercialize cellulosic ethanol during the 20th Century, but there were huge challenges in developing cellulosic ethanol as a cost-competitive energy option. Because of the extra steps involved relative to corn or sugarcane ethanol, capital and operating costs are higher for cellulosic ethanol than for ethanol derived from carbohydrates. But the ongoing attraction of cellulosic ethanol is the potential to utilize waste streams that are cheap or even negatively priced to produce the ethanol. Therefore a number of companies continue to work toward commercialization. I have long felt that the residue from the processing of sugarcane — bagasse — seems to be the lowest hanging fruit for the production of cellulosic ethanol (better even than municipal solid waste). There are residual sugars in the bagasse, and it is washed, pulverized, and already delivered to a factory. In fact, even after using some bagasse to power their plants, sugar plants struggle to dispose of excess bagasse. Thus, the economics of bagasse versus purpose-grown crops for cellulosic ethanol production should be significantly better. Some companies have focused on the potential of bagasse for ethanol production. In 2008 Verenium announced their intention to build a bagasse-based ethanol demonstration plant in Louisiana and a commercial plant in Florida. Those plans ultimately did not pan out, and Verenium sold their cellulosic ethanol business to BP. But Blue Sugars Corporation (previously KL Energy) recently reported that they had achieved the major milestone of claiming the first cellulosic ethanol tax credits under the RFS2 for a 20,000 gallon batch of cellulosic ethanol produced from bagasse. This is presumably the 20,069 gallons of cellulosic biofuel that the EPA lists for April. (No cellulosic biofuel production was reported in May or June). Cellulosic ethanol commercialization still faces a number of challenges. Capital and operating costs are expected to remain higher than for corn ethanol producers, and even they are currently struggling with low margins. The ethanol market also faces the hurdle of the blend wall, which makes it difficult to expand domestic production without increases in E15 and E85 consumption, and/or ethanol exports. Nevertheless, I believe that those focused on waste feedstocks have the greatest chance of successful commercialization of cellulosic ethanol. I would put my money on bagasse as the most attractive feedstock, followed by municipal solid waste and agricultural residues. Joshua F. Berger, University of South Florida, 6-1-2009 ["Sugar ethanol in Florida: Economic, agricultural, and environmental aspects" (2009). Graduate School Theses and Dissertations. http://scholarcommons.usf.edu/cgi/viewcontent.cgi?article=2852&context=etd]/sbhag **extra spaces deleted 3.2. Case Study: Sugar Ethanol in Florida Florida is an ideal location for the cultivation of sugarcane in the U.S. (Figure 1). It is one of four U.S. states (the others are Hawaii, Louisiana, and Texas) which presently participate in the cultivation of sugar. Sugarcane can be grown anywhere in Florida, but the commercial sugarcane industry is isolated around the southern shores of Lake Okeechobee (Baucum et al. 2006). Most of the current sugar industry in Florida is vertically integrated, but independent growers and grower-owned cooperatives produce some of the commodity output (Alvarez and Polopolus 2002). During the harvest year of 2005-2006, Florida harvested 376,000 acres of sugarcane from a total of 401,000 acres in cultivation (Shapouri et al. 2006). This harvested acreage accounted for 44 percent of the total sugarcane acreage harvested in the U. S. Overall, the Florida sugar cane annual harvest has remained stable over the past few years, with abrupt reductions in output occurring from hurricane and lesser tropical climatic storm system activity (Shapouri et al. 2006). The sugar landscape in Florida is dominated by a farmers’ cooperative and two large sugar refiners. The Sugar Cane Growers Cooperative of Florida is a consortium comprised of 54 grower-members ranging from large to small sugar farmers (Co-op 2008). The Florida Sugar Cooperative engages in long-term contractual agreements with one of the State’s two large sugar producers – Florida Crystals, which is planning to supply sugar bagasse for cellulosic ethanol production purposes (Voge l 2008). U.S. Sugar 23 Corporation, headquartered in Clewiston, Hendry County, is the country’s largest producer of sugar cane (US Sugar 2008), and it does have a vested interest in diverting sugar cane byproducts to ethanol production in Florida. In this vein, the Florida Molasses Exchange has seen a surplus in its sugar byproducts and has subsequently entered other industries, such as alcohol and yeast production (FME 2003). Universities in Florida are facilitating the advancement of biofuels technology through research and development. Lonnie Ingram, professor of microbiology and cell science at the University of Florida, has patented a method of producing ethanol from sugar cane waste and is researching this potential at a state-funded pilot plant in Palm Beach (Vogel 2008). State sugar producer Florid a Crystals will supply Ingram with the Figure 1: South Florida Sugar Cane Agricultural Area. 24 sugar bagasse necessary for the research, which is already collected and used for refinery electricity generation (FL CRY 2008). Also, Florida Crystals and Florida International University (FIU) have received a $1 million grant to develop cellulosic ethanol technology under the Florida Renewable Energy Technologies Grant Program (FIU 2007). There are many biofuel companies pursuing transportation fuel production in Florida and throughout the country. Highlands Envirofuels, an ethanol venture operating out of Tampa, is seeking to develop a $40 million plant in Highlands County which utilizes sugar cane and sweet sorghum for fuel production (Konkoly 2008, Krohn 2008). In 2008, Panama City-based Applied Research Associates was awarded $203,130 in state grant funds for research and development in cellulosic materials, including sugarcane bagasse (FDACS 2008). In 2007, the U.S .Department of Energy (DOE) announced that it would award a $33 million grant to Alico for developing a cellulosic ethanol plant. Alico subsequently declined funding and decided not to pursue ethanol production because this type of venture deviated from their core business model (FCM 2008). A steady supply of sugarcane and bagasse is being supplied by Cajun Sugar Co-op to Verenium for a $60 million demonstration cellulosic ethanol plant (Bevill 2008). Local farmers have benefited from this project by receiving extra revenue whose value is amplified by the fact that sugar prices have fallen recently (Bevill 2008). The byproduct of sugarcane is a fibrous material known as bagasse (Turn et al. 2006). In modern sugarcane ethanol plants, b gasse is used for production of steam and electricity, even though its use pollutes the air (Salassi and Fairbanks 2006). Over a million tons of sugarcane bagasse are produced every year by the Florida sugar industry 25 (Philippidis 2008). Sugarcane bagasse could be a good solution for Florida because large amounts are readily available within the state. Ho (2006) estimated that the 2005 U.S. sugar harvest yielded 25.8 million tons of sugarcane, and of that 35% or 9 million tons of bagasse would be generated. The commercialization of sugarcane bagasse is significant because it could provide a further incentive for Florida sugar producers to sell their byproducts to ethanol manufacturers if demand were to increase for advanced biofuel cellulosic products. In 2005, the DOE and the USDA estimated that the US could potentially convert 1.3 billion dry tons a year of biomass to 227 billion liters (60 billion gallons) a year of ethanol (Service 2007). The U.S. would offset at least 30% of its annual petroleum supply if 1 billion tons of biomass were processed for cellulosic ethanol (RFA 2005). Cellulosic ethanol can be derived from a variety of the non-food parts (waste) of crops, such as sugarcane bagasse. Processing cellulosic biomass seeks to extract fermentable sugars from complex carbohydrates called poly saccharides which are engrained in the plant biomass material (Greer 2005). Once these complex cellulosic structures are exposed using strong acids or enzymes, soluble sugar solutions can be produced into ethanol (Ingram and Doran 1993). Researcher s have made significant progress in the commercialization of cellulosic technology in recent years. However, production costs remain high at the present time and that is why cellulosic is not considered commercially viable (DOE 2008). According to Oliveira et al. (2005) in terms of energy balance, ethanol production from sugar is a more efficient feedstock than corn in the U.S.While corn requires new planting and harvesting every year, sugarcane is planted every 6 years (Hofstrand 2007). 26 Further, the sucrose in sugar can be converted into ethanol directly, whereas the starch in corn is first converted to sugar, and then to ethanol (Hofstrand 2007). Sugarcane uses less fertilizer than corn which would reduce contaminant and wastewater runoff (Yacobucci and Seelke 2007). In fact, Magdoff (2008) also reports that, unlike corn, sugar cane is actually a net producer of energy when used during ethanol production because its waste products can be used for electricity generation at the production plant. When compared to gasoline emissions, sugar released up to 86% less greenhouse gas emissions, with corn only providing a 30% reduction (OED 2008). Ostensibly, the most attractive benefit from ethanol derived from sugar is the fact that it can produce more gallons of ethanol per bushel of crop when compared to corn. Sugarcane yields 600 to 800 gallons of ethanol an acre which is more than twice as much as corn (Bourne 2007). Since sugar is not a main food staple like corn or wheat, less controversy is attached to it in terms of relationship affect on food prices. Thus, growing a crop that is more efficient can possibly offset impacts on rising food prices. On the other hand, Pimentel and Patzek (2007) argue that using sugarcane for fuel purposes raises sensitive issues regarding food production and food exports, which could otherwise be used for food preparation and consumption. Further research will have to take place to understand whether sugar will have less of an impact on food prices than corn Disadvantages Engines DA It’s bad http://www.marketwatch.com/story/the-danger-of-too-much-ethanol-2013-07-16 July 16, 2013, 1:19 p.m. EDT The danger of too much ethanol Commentary: Renewables mandate has unintended consequences Stories You Might Like McDonald’s CEO: Try living on McBudget of $25,000 Six stocks on the move Amazon investors may start to get fed up 175 Comments new Portfolio Relevance LEARN MORE By Josiah Neeley America’s auto makers and refiners are getting nervous. Federal law requires a minimum amount of ethanol to be blended into American gasoline, the mandated minimum for all types of ethanol rising over time, from a total of 9 billion gallons in 2008 to 36 billion gallons (including 15 billion in corn ethanol) by 2022. These numbers, however, were set prior to the financial crisis, and assumed a continued trend of increasing gasoline usage. Instead, tough economic times have resulted in Americans driving far fewer miles. Americans drove approximately 93 billion fewer miles in 2012 than in 2007, and this, combined with greater fuel efficiency for newer vehicles, resulted in an 8 billion gallon decline in gasoline consumption since 2007. Texas Public Policy Foundation Josiah Neeley This combination (increasing mandates with decreasing gasoline used) means that refineries are fast approaching what is known in the industry as the “blend wall,” the point at which all gasoline sold in the United States contains at least 10% ethanol. This is significant, because the warranties for most American car engines do not extend to ethanol concentrations beyond 10%. Once the blend wall is reached, refineries may find themselves either subject to hundreds of millions in fines or paying hundreds of millions for offsetting credits. The price of a credit for corn-ethanol increased from less than 5 cents to over $1 in early 2013, before falling to a still high rate of around 50 cents. In response to this predicament, last year the Environmental Protection Agency waived legal restrictions and allow refineries to increase the amount of ethanol blended into gasoline from 10% to 15% — although auto makers will not extend the engine warranties beyond 10%. Raising the ethanol content of gasoline beyond 10%, however, can have some nasty consequences for people’s pocketbooks and even their safety. Use of E-15 could decrease fuel efficiency by as much as 30%. Gasoline with high ethanol content can also decrease corrode fuel lines, and severely damage the car’s engine. For older cars, engine damage can occur even with 10% blends. In 2009, Lexus was forced to issue a massive recall of 2006-2008 model vehicles after reports that ethanol-blended gasoline was corroding fuel injection systems, creating a fire hazard. And then there are the chainsaws. Testing by the Department of Energy found that use of E-15 in small-engine equipment such as lawn mowers, chainsaws, and boats not only damages engines, but also led to “unintended clutch engagement caused by high idle speeds.” Reports are already circulating of ethanol-fueled chainsaws restarting on their own, which is hardly comforting. And while EPA has blessed the use of 15% ethanol-gas in newer cars, it is auto makers or refiners who may end up being held liable in court should something go horribly wrong. Auto makers were so apprehensive about the prospects of liability that they joined with trade groups for food producers and refineries in a legal challenge to the new rules. This challenge, however, was rejected by a federal appeals court, and in late June the Supreme Court declined to hear the matter. Ethanol has long been considered a textbook example of government energy mandates gone wrong. Originally billed as a means of reducing greenhouse-gas emissions, recent studies suggest that increased corn production in response to government mandates, along with the process of converting corn into ethanol, cancels out any potential CO2 reductions. Click to Play Jerry Seib: This is worst I've seen Washington Michael Casey and Jerry Seib discuss progress on filibuster changes, and Andy Pasztor looks at the possibility of charges in South Korea for the Asiana Flight 214 pilots. Photo: AP. About 40% of U.S. corn production is now being used to produce ethanol rather than food. This has meant increased food prices both at home and abroad, which has contributed to the recent unrest in places like Egypt and Brazil. Ethanol was also billed as a way to make America energy independent. Yet it is the rise of shale oil and gas, not ethanol that has most reduced the United States’ dependence on foreign sources of energy. In 2007, when the current ethanol mandate was enacted through the Federal Energy Independence and Security Act, the U.S. oil imports amounted to 60%. That number has fallen to less than 40% and keeps falling. Mostly, ethanol has shown why attempts to centrally manage the development of new energy sources are doomed to failure. Government support was supposed to spur demand, yet its inability to foresee the decline in demand for gasoline generally has forced it to make ad hoc alternations and exceptions to the original scheme. And these legal contortions are likely to only increase as the volume of mandated ethanol and biofuels continues to ratchet up over the next decade. Instead of tinkering around the edges of disaster, the feds need to frankly admit failure, eliminate the mandate, and let market forces determine how best to meet America’s energy needs. Josiah Neeley is a policy analyst for the Armstrong Center for Energy & the Environment at the Texas Public Policy Foundation, a free-market think tank that may receive funding from parties in the energy sector. Real bad http://www.bloomberg.com/news/2013-06-26/epa-says-ethanol-bounty-may-push-refiners-over-blend-wall.html EPA Says Ethanol Bounty May Push Refiners Over Blend Wall By Mark Drajem - Jun 26, 2013 11:32 AM CT Refiners may be forced to exceed 10 percent ethanol in their fuels next year in order to meet congressionally mandated renewable-fuel standards, according the Environmental Protection Agency. While oil-industry lobbyists are urging lawmakers to scrap the Renewable Fuel Standard because of problems this year, an EPA official will tell Congress today that issues with the “blend wall” -- where the amount of mandated corn-based fuel exceeds levels considered safe for all engines -- won’t bite until 2014. “Given these facts, we will continue to look at the potential impacts of the blend wall over the near and longer term,” Christopher Grundler, director of the office of transportation and air quality at the EPA said in testimony prepared for delivery today to a panel of the House Energy and Commerce committee. “EPA will continue to engage with stakeholders on this issue as we move to propose the RFS volume requirements for 2014.” The Renewable Fuel Standard, or RFS, dates in its current form to 2007, when concerns about dependence on overseas oil and a desire to curb the use of fossil fuels induced Congress to set quotas for the use of alternatives to gasoline or diesel, such as corn-based ethanol and biodiesel. Corn Fuel Under the law, refiners such as Exxon Mobil Corp. (XOM) must blend a certain volume of renewable fuels into their gasoline each year regardless of the total amount of fuel produced. When fuel use falls, it effectively boosts the amount of ethanol in the gasoline and other fuels. The EPA and renewable-fuel producers say the mandate spurs production of American-made fuels, helps corn farmers and cuts carbon emissions by replacing gasoline. Lobbyists representing refiners such as Exxon, based in Irving, Texas, say falling U.S. fuel demand means that requirements for ethanol may force its use higher than the 10 percent that the government says is safe for all engines. U.S. gasoline demand has declined every year since 2007, reaching a 14-year low of 8.518 million barrels a day in 2012, according to the Energy Department in Washington. Last year, average daily gasoline use in the world’s largest economy was 8.3 percent lower than in 2007. Engine Damage The EPA has cleared the use of E15, or gasoline with 15 percent ethanol, for most vehicles sold since 2001. The oil industry is fighting that determination, and argues that the higher ethanol content can harm vehicle engines. In his testimony today, Grundler said that higher blends of ethanol may need to be used to meet the requirements, or “significant additional volumes of non-ethanol biofuels would be needed.” While the EPA acknowledged the issues of refiners, a Department of Agriculture official shot down concerns from chain restaurants, food charities and chicken producers that the fuel standard is raising the cost of food. “Any increase in farm prices for corn and soybeans due to increased biofuels production has likely had only a small effect on U.S. retail food prices,” Joseph Glauber, chief economist of USDA, said in his testimony to the pane Brazil relations DA Brazil DA US-Brazil relations low but rising – trade is key to change – make better cite Tatiana Angela-Cabral Schnurr is a dual-degree candidate at Columbia’s School of International and Public Affairs and the Fundação Getulio Vargas in Brazil, 2013 [“Brazil and the USA: Rethinking the future of Ethanol for stronger Mutual Wins”, http://bibliotecadigital.fgv.br/dspace/bitstream/handle/10438/10661/Thesis%20Final%2027-032013_Final-1.pdf]/sbhag With the rise of Brazil as one of the emerging powers to watch over the next century, much has been written and speculated ov er the state of and future of US - Brazil relations. With Brazil’s rise and the US declining from its hegemonic position and facing a multi - polar global power distribution, the two countries are looking at an unprecedented shift in power dynamics. Although some would assess the relationship to be positive and growing, others would say that there are hurdles of understanding and prioritization in US - Brazil Relations and little real overlapping areas of strategic interest. Some of the major issues within the r elationship are Trade, Global Energy and the Environment, China, and the Middle East. There are many different views on how these issues impact relations between these countries. According to Matias Spektor, professor at FGV in Rio, the foundation for pos itive US - Brazil relations is an acknowledgment that they are both important to each other’s future in that a prosperous Brazil is a good thing to the USA and that having a friend in Washington is beneficial to Brazil. “Brazil and the United States need e ach other to cope with the daunting problems that require very deep cooperation in the twenty - first century: climate change, trade, financial stability, food security. These are all big issues where you cannot reach a deal without having the United States and Brazil at the table ” (Spektor, 2011) . Whenever Rousseff and Obama meet, t he importance of one nation to the other needs to be explicitly stated between the two presidents. The two countries need to build a narrative that includes the fact that in 21 s t century Brazil is a rising power and has more influence internationally. The meetings between the first African American President in the USA and the first female president in Brazil are symbolically powerful as it ties two of the most racially and ethn ical ly diverse nations in the world (Spektor, 2011). According to a 2011 report issued by the Stratfor Analysis, US - Brazil relations face obstacles because there are little overlapping strategic interests between the two and they are opposed on transient and existential issues. According to this r eport, the relations between US and Brazil have been a lot of talk and no action, highlighting the Obama visit to Brazil in 2011 ( Barriers to U.S. - Brazilian Cooperation , 2011 ) . This report downplayed the importanc e of the dialogue of the presidential meetings as simply lip service while Spektor claims that it 19 is the most important outcome of these meetings. An article published by The Economist Intelligence Unit shortly after Obama’s trip to Brazil stated that oth er more important global issues such as the crisis in Libya upstaged the trip. T he trip was criticized as a “ spring break ” for the President. Still there was discussion over the promotion of development of renewable fuels and various forms of exchange, sc ientific to educational, between t he two countries ( Upstaged , 2011 ) . In 2012, Rousseff visited Washington and the major dialogues that were elevated in 2011 were reviewed, and there seemed to be a reemphasis of the major themes, with more emphasis on infra structure investment and international business issues. A joint statement from President Obama and President Rousseff issued from The White House in April 2012 stated that “They welcomed the growth of the U.S. - Brazil trade and investment relationship, illu strated by a record $74 b illion in two - way trade in 2011 ”( Joint Statement by President Obama and President Rousseff , 2012 ) . Although many may have different opinions on the importance of the meeting between the two presidents, it seems that there has been some change in the dialogue between the two nations with Obama explicitly highlighting the importance of Brazil to the US in his pointing out that Brazilian US imports support 250,000 jobs back home in the US ( Upstaged , 2011 ) and the open invitation for B razilians to come to the USA and shop. In March of 2011 he stated how the rise of Brazil as the worlds seventh largest economy was remarkable and that Brazil was not the country of the future but having its moment now and that the USA would be supportive i n helping Brazil develop, including becoming it s best customer once p re - salt was extracte d and available for consumption ( On the first day of his visit, Obama emphasizes US - Brazil trade relations , 2011 ) . Rousseff has a more pragmatic and US - friendly approa ch than Lula, who focused more on South - South relations, which has also helped to improve rela tions between the US and Brazil ( Pragmatic Diplomacy , 2011 ). One of the most important issues is Trade; however most see this issue as not progressing rapidly, a t least in the near future. Trade is conflicting, both countries want to create more jobs and export more, but both need to agree on loosening barriers, Brazil wants to export more to the USA but it would need to equally open up barriers, if that is the ca se then the USA would flood the mar ket with very competitive goods ( Barriers to U.S. - Brazilian Cooperation , 2011) . Brazil has historically been a very closed market and practiced heavy import substitution. Spektor also noted the limitation on the discussio n about trade, “ We first need to get the conversation going again to restore the atmosphere, to establish a personal relationship between the two presidents and lay the grou nd for future progress on trade ” (Spektor, 2011) . Although the trade issue is somew hat of a standstill, it may be one of most 20 important elements to US - Braz il relations, and one that may a ffect many other areas of the relationship, so while it is important to create the right atmosphere for these talks, it is also important not to table t he issue for too long. Trade in energy may be what really prompts both parties to the table, both with petroleum and ethanol. Another issue that has effected US - Brazil relations is the Middle East and how much Brazil is willing to actively support and al ign itself with US Foreign Policy. Some believe that Brazil has for the most part supported the USA in most of its international endeavors and this coupled by that fact that Brazil is a stable democracy will further deep en ties between the two nations (Alm eida, 2009) . Others see Brazil as historically taking a sort of hands - off approach to the affairs of the rest of the world and focused more on domestic affairs. The US will want Brazil to take a more active role in foreign affairs ( Barriers to U.S. - Brazil ian Cooperation , 2011) . As Brazil becomes more of a global power with greater influence , this pressure will undoubtedly grow. As Brazil continues to appear more on the global stage , it will undoubtedly go through a learning process in international affairs , however it need not follow the lead of the US exactly, which has a reputation of over involvement in international affairs. However some of Brazil’s forays into the international arena have been met with mixed reactions, such as when Brazil’s President Lula’s meeting with Iran’s President Ahmadinejad to negotiate a deal with the west. The two Presidents seemed to be getting rather friendly, which was confusing to other western countries and possibly damaging to Brazil’s global ambitions. Rousseff has tak en a more pragmatic approach, distancing herself from Iran and publically voicing her opinions agains t human right violations ( Pragmatic Diplomacy , 2011) . Rousseff was a political prisoner, tortured under the dictatorship, one would expect that she would voice her opinions more boldly on threats to human rights abroad. In fact, Rousseff has kept some of the style of her predecessors, demonstrate d when she abstained from the United Nations Security Council resolution rid Libya of Col. Muammar el - Quaddafi, w hich was later criticized by the Unites States Ambassador to the United Nations Susan Rice. Human Rights Watch has also criticized Brazil’s fence sitting position on Syria (Spektor, 2011) . However , it may be a false assumption to think of President Roussef f as hypocritical, “... she is resisting the pull from Paris, London , and Washington to coerce governments that have fallen in their disrepute. And she is denouncing the dangers inherent in the rising tide of humanitarian interventionism ” (Spektor, 2011) . Rou sseff emphasizes the need for “ responsibility while protecting ” to avoid imperialism while trying to aid other nations. Rousseff may need to be clearer in her practical stance and point of view in the future, to 21 avoid the continued impression of Brazil as just idly standing by as international atrocities occur. Energy has been an issue at the forefront of US - Brazil relations and it has been a cause for hope as well as conflict. In an article entitled “Ethanol Diplomacy”, written by Wilson Almeida from th e Catholic University of Bras ilia, relations between the US and Brazil were predicted to strengthen because the US would depend more on Brazil for ethanol. According to the article, The US’ energy demands will continue to increase while its capacity will d ecrease. Dependence on oil imports represented 35% in 1973, 55% in 2001, and it is projected to be 76% in 2020. This growing demand for energy coupled with the diminishing globally known energy reserves would make the US more dependent on Brazil in the fut ure as the biggest producer of sugar cane based ethanol in the world, a highly more efficient fo rm of ethanol than that of corn (Almeida, 2009) Ethanol trade key to improve relations http://gcg.universia.net/pdfs_revistas/articulo_140_1260809836496.pdf http://www.cfr.org/renewable-energy/brazils-ethanol-diplomacy/p13721 Relations good Trade off DA Corn Good DA The 2013 RFS mandates corn-ethanol purchase, prices have skyrocketed one hundred eighteen thousand percent (117,900% is a big number) Susan Lafferty is a member of Sutherland’s Energy and Environmental Practice Group, Susan’s counsel focuses on the RFSl Standard (RFS) program, and David McCullough is also a member of Sutherland’s Energy and Environmental Practice Group. David regularly counsels clients on environmental legislation, regulation and policy affecting the refined product and renewable fuel industries, 7-10-2013 [“Renewable fuel standard costs reach record levels: corn-ethanol RINs at $1.18 per RIN”, http://www.lexology.com/library/detail.aspx?g=4c0540b6ea09-48ed-9409-16fd2b939281]/sbhags The federal Renewable Fuel Standard (RFS) requires gasoline and diesel refiners, blenders and importers to purchase and use an ever increasing number of renewable fuel credits (known as RINs) generated by renewable fuel producers to represent volumes of specific types of renewable fuel. RIN prices have increased by more than 2,100% since the end of 2012 to $1.18 for corn-ethanol RINs, representing a cost of approximately $0.11 for every gallon of gasoline and diesel produced at present RIN prices. This year, importers and refiners of gasoline and diesel will be required to purchase and retire 13.8 billion corn-ethanol RINs, representing approximately 85% of the overall number of RINs that these parties must purchase. In past years, corn-ethanol RINs were very inexpensive and traded at less than $0.01 per RIN. Corn-ethanol RINs remained inexpensive due to relatively low production costs and ease of blending ethanol into gasoline. Prices for these RINs steadily skyrocketed in the first quarter of 2013, however, to slightly more than $1.00 per RIN. Since March prices dropped slightly and traded generally between $0.60 and $0.90 per RIN, but prices have rallied in July to $1.18 per RIN Cuban sugar imports depress the price of corn-ethanol, collapsing US Corn Belt’s economy – independently turns case Jonathan Specht, legal advisor, B.A from LSU and GD from Washington University in St. Louis, 4-24-2013 [“Raising Cane: Cuban Sugarcane Ethanol’s Economic and Environmental Effects on the United States”, http://environs.law.ucdavis.edu/issues/36/2/specht.pdf]/sbhag Unless Congress raises the RFS by a sufficient degree to absorb all domestic ethanol production on top of these new imports, the increase in such imports would likely damage the domestic ethanol industry. “Whatever the level or type of biofuel, increased imports (holding other factors constant) would reduce the quantity of domestically produced biofuels, which would reduce the demand for biofuel feedstocks.” 138 Because very little ethanol is currently imported into the United States, law and policy changes that successfully fostered the development of a Cuban sugarcane-based ethanol industry would have a significant economic impact on the United States. Such a change would have the largest economic effect on two regions: the Midwest, which is currently the primary source of ethanol production in the United States, and the Southeast, especially Florida. This Part of the Article will discuss the likely economic effects of such policy changes first on the Midwest, then on Florida, then on the United States generally. A. Economic Effects of Cuban Ethanol on the Midwest Absent a scenario in which the RFS was raised at the same time as U.S. consumption of ethanol from Cuban sugarcane increased, it is likely that importing Cuban sugarcane ethanol would have a negative economic effect on the Midwestern United States . The worst case economic scenario for the United States that could possibly arise out importing ethanol from Cuba would be that such ethanol largely supplants rather than supplements the domestic ethanol industry. This could lead to ethanol plant closures, job losses, and a regionalized economic slowdown across the Midwestern United States. This regionalized economic slowdown would be made worse if a drop in demand for corn-based ethanol led to a significant decline in corn prices and a resulting loss of purchasing power by corn farmers (whose spending in times of high commodity prices boosts small-town economies). 139 The likelihood of this worst-case economic scenario depends on a number of factors. The U.S. ethanol industry, like other ethanol industries around the world, is largely affected by two major variables: governmental policy and commodity prices. While it has not received anything close to the level of support granted to the Brazilian ethanol industry, 140 the U.S. ethanol industry has received major boosts from the federal government. 141 The future strength of the domestic ethanol industry will depend on whether it continues to receive the backing of the federal government. “Growth in the U.S. ethanol industry is directly related to Federal and State policies and regulations.” 142 According to a 2006 economic analysis, “[T]he most likely scenario is that renewable fuels continue to compete with petrofuels only on the basis of government incentives and/or mandates.” 143 How important such governmental support will be to the survival of the domestic ethanol industry, however, will depend on the other major external factor affecting the ethanol industry : commodity prices. According to one economic analysis, if oil prices stay at or above $105 per barrel, even with low levels of governmental support, the U.S. ethanol industry will “move into high gear.”144 Besides petroleum prices, the other major commodity price variable with an effect on American ethanol production is the price of corn.145 Market conditions are most favorable for U.S. ethanol producers when corn prices are low and petroleum prices are high, as was the case in the United States between 2001 and 2006.146 For both policy and market reasons, the 2000s were a good decade for U.S. ethanol producers. In th e first five years of that decade, both 195 production and consumption of ethanol doubled in the United States.147 In 2012, however, corn prices rose sharply as a result of that summer’s drought, reducing profitability for ethanol producers. This commodity price shift leaves the future of domestic corn-based ethanol production in question. The shift was particularly damaging because it followed the expiration of policies favoring domestic ethanol production at the end of 2011 and also because Congress has yet to pass a new Farm Bill. Over the past thirty years, ethanol has become a greater and greater factor in the economics of corn production, and thus the economy of the Midwestern United States. In this time period, the amount of U.S. corn production used for ethanol has dramatically increased. In 1980, less than 1% of the U.S. corn crop went to ethanol production. 148 By 2011, that amount rose to approximately one- third of the annual U.S. corn crop. 149 The success of the ethanol industry has been one reason 150 that much of the Corn Belt 151 has weathered the most recent economic recession relatively well. 152 According to the Bureau of Labor Statistics, as of March 2013, North Dakota 153 (with 3.2%), Nebraska (with 3.8%), South Dakota (with 4.43%), and Iowa (with 5.0%) had four of the six lowest state unemployment rates in the United States. 154 Two other states with significant ethanol production, Minnesota and Kansas, 155 were also in the bottom fifteen states for unemployment. 156 While it may be true that the Corn Belt region is currently doing well economically (that is, aside from the effects of the drought of 2012), especially relative to other parts of the country, this has not always been the case. During the 1980s, when commodity prices were very low, the Corn Belt region suffered economic stress from sharply reduced farm profits. 157 By providing a certain source of demand for corn, domestic ethanol production sets a floor on the price of corn, preventing this type of regional disaster from repeating. Additionally, the population of the rural Midwest has been declining for years. 158 As President Obama acknowledged in a 2010 speech, in an era of outsourcing and downsizing that began long before the most recent economic recession, the domestic corn-based ethanol industry stands out as one of the few sectors that is bringing jobs to rural America and allowing towns that might otherwise die to survive. 159 For roughly two decades, the domestic ethanol industry has relied on the promise of continued government support in some form in order to expand facilities and ratchet up production. 160 For years policy-makers have promoted the goals of reducing carbon dioxide emissions, cutting back on fossil fuel usage, and reducing U.S. dependence on foreign countries for its energy needs. 161 Although the degree to which the domestic ethanol industry actually meets these goals is disputed, 162 it does contribute to achieving each goal to some degree. While importing ethanol from Cuban sugarcane would meet the first two national policy goals, it would detract from the third. It would seem perverse for policy-makers to enact policies that would severely damage an industry that helped meet the national po licy goals they had espoused , especially after the policy-makers had supported the industry. Zero Sum It trades off – prices – speecht Zero sum – blend wall – controls prices – physical limit Gerard Wynn, Reuters, 7-8-2013 [“Commentary: Biodiesel could ease U.S. "blend wall"”, http://www.agprofessional.com/news/Commentary-Biodiesel-could-ease-US-blend-wall214534971.html?view=all]/sbhag The United States is nearing the point where the law requires the use of more ethanol than can be physically blended into gasoline at the most prevalent level of 10 percent ethanol. A recent run-up in the price of compliance credits, or renewable identification numbers (RINs), suggests that a blend wall is nearing. Refiners concerned that they will be unable to blend physical product can buy RINs instead on a secondary market to meet their obligation. The RIN price spike has also increased the urgency to address the problem, because of possible knock-on impacts on refining costs and gasoline prices. RFS Bad? http://domesticfuel.com/2013/07/25/ewg-has-no-love-for-corn-ethanol/ EWG Has No Love for Corn Ethanol Posted on July 25, 2013 by Joanna Schroeder During the recent Subcommittee on Energy and Power’s hearing to review the Renewable Fuels Standard (RFS) as well as during a recent RFS briefing sponsored by the Advanced Biofuels Association last week in D.C., the Environmental Working Group (EWG) made it very clear that they have no love for corn-based ethanol. rfs-hearing-faberScott Faber, EWG senior vice president for government affairs said that to date, the RFS has failed to deliver the “good” biofuels that could help meet many of our environmental and energy challenges. “Instead, the RFS has delivered too many “bad” biofuels that increase greenhouse gas emissions, pollute our air and water, destroy critical habitat for wildlife and increase food and fuel prices.” Faber continued, “Since it was expanded in 2007, the corn ethanol mandate has contributed to plowing up more than 23 million acres of US wetlands and grasslands to plant crops –and area the size of Indiana….Although the RFS was promoted in 2005 and 2007 as a tool to address climate change, the Environmental Protection Agency’s own analysis has since shown that the lifecycle greenhouse gas emissions of corn ethanol were higher than gasoline last year (2012) and will be higher in 2017. All but three corn ethanol production pathways increased emissions in 2012, and only nine corn ethanol production pathways are expected to meet greenhouse gas reduction standards for corn ethanol in 2017.” Warming DA Warming DA Ethanol causes warming San Jose Mercury News, 7-3-2013 [“Ban E15 gas”, http://www.mercurynews.com/milpitas/ci_23593190/ban-e15-gas]/sbhag It is time for us to stop kidding ourselves about ethanol. Making fuel from a food crop has altered the cost of food and in the long run ethanol does not have the energy contact nor does it sustain the octane rating in the fuel that it is blended.Ê Back in the 1990s the oil companies usedÊmethyl tertiary butyl ether (MTBE) to help with the atomization and to oxygenate the fuel into the combustion chamber of the internal combustion engine. At that time there was a substantial number of vehicles on the road that used carburetors. Then everyone discovered the health risked of MTBE leaking into the groundwater system,Êalthough these hazards were known before MTBE was being blended into gasoline. The oil companies were told to stop using MTBE and were told they had to use ethanol. Since gasoline stopped being 100 percent gasoline, fuel mileage has decreased, by the percentage number of the blend of ethanol.Ê Ethanol is a product mandate by the Environmental Protection Agency, yet ethanol creates more smog than 100 percent gasoline. The EPA has even testified that this fact is correct. Studies have shown the ethanol blended and E85 have contributed more to global warming than 100 percent gasoline.