Record production of second-crop corn and the recent opening of the Chinese market to Brazilian DDG could bring new momentum to the ethanol industry. The situation, however, is beginning to improve. One of the factors is the abundant corn harvest in Mato Grosso, which is likely to exceed 50 million tons, as the weather has been helping. This means there is a greater supply of raw material and a lower risk of paying more for the grain. On the other hand, the sector received news this month that the Chinese market had opened to DDG produced here. The acronym, which comes from English – dried distillers grains – gives its name to the product resulting from the production of corn ethanol, when the starch is turned into biofuel, but the highly proteinaceous material, widely used as feed, is also generated.
Source: AgFeed/Nova Cana