Hello Bill & All,
I find no fault with Roberts reply but do feel I need to comment on Bills.
Robert has read the report so he understands the report better maybe than
Bill. The report can be found in the March 1984 issue of "Gleaning in Bee
Culture" page 137.   At the time Mr. Hayes wrote the report the U.S.
government was the largest buyer of honey in the U.S. through forfeiture on
*honey loans*.  The government at the time had warehouses full of drums all
it could figure to do with was give away as commodities.  I repeat give
away!  Mr. Hayes because of the real problems with gas prices and shortages
of the 80's saw the solution as a very real one.   Because so many commecial
beekeepers are on the verge of bankruptcy right now the old honey loan is
being reinstated with the forfeiture clause. Why?  Because of the value of
pollination these beekeepers provide.   In short history is repeating
itself.   The U.S. government is setting itself up again to be the largest
buyer of honey in the U.S.   Even with the $150,000 limit this time they
still could get many thousands of barrels of honey before long.   Ethanol
could be a better return on their money than giving away as commodities
which was the solution they came up with last time.
Bill wrote:
 1 pint honey=$2-$5 and more without further processing.
 1 pint ethanol, about $1, depending on concentration at the local
 drugstore.
 Come on Bill these figures don't reflect the real world of large scale
beekeeping.   Right now the two largest buyers of honey in our area are not
buying honey at any price.  They are stocked up for the next year.  If the
were they are only paying tops of $.55 (U.S.) per pound.    That figures out
to with a pint (1 1/2 pound) to $.83 for  1 1/2  pound of the best grade of
honey.  Most research today says a honey producer needs $1.15 per pound to
make money and $.65 a pound to break even.  I sell in the health food stores
which commands a higher price than the grocery stores and I  don't get get
$2-$5 a pint and I do FURTHER Processing by filtering and putting in jars
and delivery to the stores.  If I could get half the low figure you quote $2
a pint in the drum I would NEVER sell in the stores. Period.
Bill wrote:
 I think we are in the law of diminishing returns here, with the initial
 product having more value than the finished product. There is a big
 differnece between the price of corn to produce one pint of ethanol than
 and equivalent amount of honey.

You are probbably right in the long run but who really knows what level gas
prices might level out at.  I do believe the large oil companies will fight
any new uses of ethanol.

 The value added product, if you want to produce ethanol, is mead. Then
 you can have your cake and drink it too.

The small beekeeper can do added value but not the large honey producer
/polinator. Thats like saying my close friend which farms around 2,000 acres
around Odessa can grind all his corn into flour and sell flour at $2-5 a
bag.  I don't necesarily disagree with what you have said and ethanol may
not be the answer to the plight of the American Beekeeper but thought I
should at least present the other side of the discussion for Bee-L people to
see. Thanks for the reply Bill & Robert!
Sincerely,
Bob Harrison
Odessa,Missouri