For Immediate Release:  May 3, 2007

MFU Applauds Senator Tester’s Biofuel Crop Insurance Plan

GREAT FALLS, MT (May 3, 2007) – The Montana Farmers Union applauds and strongly supports Montana Senator Jon Tester’s biofuels pilot program legislation, which he introduced today in Washington, D.C.

Tester’s legislation will establish a program to offer crop insurance to producers of experimental biofuels crops, such as camelina, and also make loans and loan guarantees available to producers of experimental biofuels crops.

“Montana can be a leader in the renewable fuels arena,” said Montana Farmers Union President Alan Merrill.  “Senator Tester’s legislation will provide the necessary protections for farmers who want to contribute to America’s energy independence by planting oil seed crops.”

Tester’s legislation:  Experimental Biofuels Crop Insurance Pilot Program

Producers of experimental biofuels crops (specifically camelina) may receive crop insurance under this pilot program.  The crops are defined as those for use as a nonpetroleum fuel source or nonpetroleum lubricant.

Safeguards must exist to prevent spread of the crop as a noxious weed; the crop must have no existing crop-specific policy or plan of insurance and yield data must exist for at least one crop year.

In addition, funds are provided ($5 million) for USDA to make grants to research facilities and institutions of higher education to study the use of experimental biofuels crops for animal feed and conduct research on specific harvesting and planting techniques for new experimental biofuels crops.

“Montana Farmers Union is working to promote safe and local food and fuel development for all Montanans,” said Merrill.  “Tester’s balanced approach in this legislation will encourage continued research while providing necessary risk management for farmers and ranchers who wish to pursue cropping and feed options available with camelina.”

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