BRAZIL: DIRECT BIODIESEL SALES UNDER NEW MODEL REPORTS CONTRACTING ABOVE THE GOAL

Biodiesel producers signed sales to deliver 957 million liters of this biofuel for supplying in January-February, to meet the percentage of mandatory diesel oil blending, an increase of 36% above the estimated demand the period. This took place after Brazil moves to a new direct-sales model, in which distributors contract and buy the product directly from the producers, replacing biodiesel auctions. The new direct-sales model, implemented as of January 1 was regulated by ANP Resolution No. 857/2021. Biodiesel supply contracts were successfully informed and validated by fuel distributors and producers through a system developed by the ANP, called SRD-Biodiesel. The contracts for higher-than-estimated demand demonstrate the success of the new sales model already in the first bimonthly period of its implementation, with the broad adhesion of fuel distributors and producers, guaranteeing supplies to end consumers across the national territory.

Source: Jornal Cana (*Translated by Ia Niani)