(NAFB.com) – Senator Roger Marshall (R-KS) led a bipartisan letter calling for the Treasury Department to restrict the eligibility of the 45Z  tax credit to renewable fuels made only from domestically sourced feedstocks, like Kansas corn and soybean oil. The tax credit goes into effect on January 1, 2025, and it has the unintended consequence of incentivizing foreign used cooking oil over homegrown soybean and corn oil. The letter says what makes it worse is the government doesn’t verify the legitimacy of used cooking oil imports, and much of it is believed fraudulent. Since 2023, used cooking oil imports from China and other countries have averaged over half a billion pounds a month, resulting in downward pressure on American corn, soybeans, and their derivative products. “This drop in soybean prices corresponds to a loss in production value to American farmers of at least $5.4 billion, and even more when they calculate corn losses,” the letter says.