The United States Department of Agriculture-Economic Research Service (USDA-ERS) recently released a report on the "short-term outlook for production of next-generation biofuels and the near-term challenges facing the sector". Next-generation biofuels are made from advanced technologies that utilize an expanded range of non-traditional feedstocks. Among the highlights of the report are: (1) public sector support for next-generation biofuels is driven by national interest for energy independence with food security, mitigation of greenhouse gas emissions, and enhancement of rural employment opportunities; and (2) the key challenges facing next-generation biofuels are: the reduction of high capital and production costs, availability of financial support during pre-commercial development, establishment of feedstock supply arrangements, and overcoming blend wall constraints. The full report can be accessed from the USDA-ERS website (URL above).