Plentiful and cheap corn supplies in the west-central region of Brazil have usually attracted investment in the corn ethanol sector over the past few years, according to a report released by the Foreign Agricultural Service (FAS) of the United States Department of Agriculture (USDA). According to the Brazilian Corn Ethanol Union (UNEM), Brazil is expected to produce around 2.5 billion liters of corn ethanol in 2020/21. There are currently 16 corn ethanol plants in Brazil, located in the states of Mato Grosso, Goiás and Mato Grosso do Sul. At least four of those facilities are corn-only plants, whereas the remaining facilities are flex plants, that can produce ethanol from both corn and sugarcane. In 2019, Brazil produced 1.33 billion liters of corn ethanol, but that volume is projected to expand to 8 billion liters by 2028, according to the National Union of Corn Ethanol Producers (UNEM). Brazilian ethanol consumption is expected to grow to 43 billion liters by 2029, according to the Ministry of Mines and Energy and the Energy Research Company (MME / EPE), supported by the gorvernment’s new carbon credit program, RenovaBio.
Source: Agência Safras