Cramer thinks ethanol stocks are a joke

Ethanol isn't a issue about the cost of oil. It is an issue about whether we want to continue to have an economy that is held hostage to OPEC. We can only really have a free and independent economy and if we break our dependence on imported oil. Alternate fuels, conservation, renewable energy, biofuels, solar, geothermal, clean coal and nuclear power should all be exploited to eliminate our dependence on foreign oil. Even if it costs more, we will be putting Americans to work and keeping our money at home.

Ethanol could be the straw that breaks the camels back when you combine its production with emerging new supply of crude oil coming to market. Even if it doesn't make sense as a fuel substitute, there is a substitution factor of ethanol for crude imports that could just be the amount to tip the balance to a supply glut that could sent oil prices slidding. Let's hope...

Ethanol production is not a "joke" but will soon be
a frequently used additive to petroleum in a substantial amount for many engines engineered for
compatibility with this product. We are witnesses
ethanol production facilities being created in a
major way in the midwest and gasoline distributors
will soon add ethanol additive pumps to existing
distribution centers. Oil is unlikely to remain
at these levels indefinitely when the world ramps
up production facilities and the burgeoning population of India and China develop a taste of the
convenience and enjoyment of the automobile.

Brazil can produce ethanol out of sugar cane at $32/b energy equivalent to oil. Technology in the field and in the fermentation may soon reduce that number dramatically. Ethanol is no joke - the problem is everyone thinks of corn based ethanol. Sugar cane based ethanol is cheaper, produces 12 times more energy than corn and consumes 12 times more carbon dioxide than corn. The USA should incentivate the usage all over Latin America, weakening Chavez, reducing immigration pressure, helping the environment and producing millions of jobs for some of the poorest people in our hemesphere. Furthermore, unlike oil, you can´t stop ethanol production like u can stop oil production. If you do millions of cane growers will lose money and throw any president that thinks of using ethanol as a weapon out of office. Oil on the other hand can be store underground and wealth preserved.

Unfortunately, Cramer is right. Ethanol -- especially corn ethanol -- is a joke. The joke is that corn producers and ethanol plants have tricked the majority of us into believing corn-derived ethanol is a green, renewable, sustainable fuel, when the hard truth is that it is none of those things.

Without consuming vast amounts of unrenewable resources from natural gas to make the synthetic nitrogen fertilizers corn farmers must have; to consuming diesel fuel to power ag equipment; to consuming and/or contaminating our water; and to mining the soil of irreplaceable nutrients that took thousands of years to deposit; there would be no corn ethanol.

Cramer is right -- "Big Corn," "Big Ethanol," and Corn Belt politicians have played a huge joke on us.

The law makers like ethanol...legislation is already in the works to boost alternate fuels. I disagree w/ Kramer.

i agree with the above writers,,,, crammer who i adamire is way off,,, thats why gas prices are going down to discourage ethenal investors and producers,,,, scare them out then gas prices will rise and clean your clocks out [er] pocket,,,,spending 4-5 months in indiana [lafayette] every fall theres nothing but thousands of acers of corn and had the pleasure to see truck mechanics useing left over corn from trucks to heat thier garages,,,,lets think ahead in fact just bought a toy caravan a dodge NOT REALIZING IT RUNS ON ETHENOLE cant wait to get to indiana

Cramer clearly doesn't have a clue. He's done no analysis and he must be just looking for random sensational things to say that correlate with his arm-waving, sound-making style. The two most realistic energy forms in the short term for making real progress to stopping funding terrorists are plug ins and ethanol, hence the demand will justify the increase in supply.

Mario said, "thats why gas prices are going down to discourage ethenal investors and producers,,,, scare them out then gas prices will rise and clean your clocks out [er] pocket,,,,

Mario,

The reason oil prices are down is even more subverted and underhanded than you imagine. The real reason is that the Saudis are pumping oil like there is no tomorrow in an attempt to undercut and destroy the economy of those hated Shi'a Muslims, the Iranians.

They reckon that by putting pressure on and perhaps damaging the Iranian economy, they can force the Persians to withdraw their support for the Iraqi Shi'a.

Cheerio,

Nigel

Oil will be $100 plus a barrel over the long term.

Think of all the developing countries who would get into the ethanol game.

It will just be another commodity and theres no way you can form any kind of monopoly since any third world country can get into the business.

100% of all Corn Grown in the US each year, if used as automotive fuel, will supply 7% of automotive fuel needs each year. When the entire manufacturing Process of Ethanol is evaluated, ethanol uses more fuel to make than is produced. (Scientific American, January 2007). It also other unique infrastructure challenges, such as, it does not pipe as easily as oil, gas. Thus trucking the ethanol is better (and more expensive). When someone claims otherwise -- examine where they get their paycheck from. Those persons are probably a salesman of some sort -- CEO's are also salesmen of sorts. Also take note of the short term fertility of the soil when the same crop is repeated planted and harvested. (Get ALL the details before blindly making a choice. Ignoring sales men would be a good idea).

You have an opinion? Read January issue of Scientific American. There is an educating article on ethanol production, energy capacity, required infrastructure, cost, etc. You'll be smarter after reading it.
Example: You need 30 gallons of ethanol to drive the same distance on 20 gallons of gasoline. Remeber this when you hear people estimate the price per gallon.

Ask yourself, can Cramer be right 100% of the time?
I have a lot of respect for him but he should take a second look at Ethanol stocks and production this coming July. Perhaps it may take 30 gallons of gasoline to equal 20 of ethanol. Corn or other cellious products renews itself in one year, how long crude oil in the ground? Newspsper articles say prairie grasses contain more energy than corn.
In upstate NY,they are using wood chips. We all know the price of oil is being manlipuated. In 5 yrs the only fools around are those who sold their Ethanol stocks, me, I'm buying all I can.