BRAZIL ALLOWS IMPORTED RAW MATERIAL IN BIODIESEL PRODUCTION

President Jair Bolsonaro approved a resolution by Brazil’s National Energy Policy Council (CNPE) that allows imported raw material in the production of biodiesel. The new measure establishes that the National Petroleum Agency (ANP) may allow the use of imported raw material in public bids, previously considered “of interest to national energy policy”. The government’s move takes place while the biodiesel sector in Brazil, the largest global producer and exporter of soy, deals with higher oil prices after strong exports and domestic consumption. The ANP has temporarily reduced the percentage of mandatory biodiesel blending to ease the price hike on the fuel. At the end of October, the Brazilian Association of Vegetable Oils (Abiove) projected that biodiesel production in Brazil should reach a record level for one year, 6.4 billion liters until the end of 2020, up 8.5% over 2019.

Source: Reuters

*Translated by Ia Niani