The drought could be driving up gas prices - 13 WTHR Indianapolis

The drought could be driving up gas prices

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INDIANAPOLIS -

The drought may be pumping up gas prices.

Industry experts predict a 15% drop in the corn harvest which is driving up prices. Corn futures are up 60% since June, and since corn makes up 10% of most gasoline, you may have to pay at least a nickel or more per gallon.

Also, with more grain going into fuels and feeding livestock, the price of grain in human food can also increase, causing your grocery bill to go up as well.

With less corn to go around, some groups hope the government stops a requirement that 40% of corn be used to make ethanol.

"There are people who are actually filing actions trying to get it changed so they don't have to use so much corn in the process of ethanol, and instead can divert it over to livestock and other food products," says Dr. Matthew Will, professor of Economics at the University of Indianapolis.

But the ethanol industry says their product actually saves at the pump because it means less foreign oil goes into driver's tanks.

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