According to Raizen’s CEO Ricardo Mussa, the increase in demand for ethanol may mean that, despite the large production, Brazil will have a lack of supply in a few years and need to build new production units. “Considering this supply and demand balance that we project for the coming years, not having enough supply is a concern, so we will need to build new plants,”, he said on Wednesday 2, during the Credit Suisse conference. “Despite the supply, there is a lot of demand for other products,” he added. Mussa mentioned that today much of the company’s production is for industrial use. “With the green wave, there are several demands from other sectors, such as pharmaceuticals, that go to ethanol”, he said. He also mentioned about plastics and chemical industries. “We have a cheap and renewable carbon chain”. To meet the growing demand, sugarcane productivity is essential, he said. He also mentioned second-generation ethanol, which can increase biofuel production by 50% without increasing the area.
Sources: Agência Estado/Nova Cana (*Translated by Ia Niani)