ETHANOL SUPPLY TO INCREASE WITH EXPANSION OF ETHANOL PLANTS

Despite the drop of 8.75% in ethanol production until January 16, there is a strong tendency for levels of production and demands to return to those seen before the pandemic. Production has started showing signs of recovering with the volume of ethanol stored by plants falling and reaching the same last season’s levels. The expectation is that the revenue obtained from the CBios and the increasing annual targets will boost production, as well as raw materials are being used for ethanol production. There are seventeen (17) new units under construction to increase daily supply to 6.77 million liters of ethanol. In addition, there are plants rising their production capacity. According to information from the National Agency of Petroleum, Natural Gas and Biofuels (ANP), there are currently 23 units in expansion. Together, the units are expected to rise production to 7 million liters a day of hydrous ethanol and 1.60 million liters to anhydrous, reaching 8.60 million liters. This represents a 2.32% increase in capacity. Twenty out of the twenty-three units use sugarcane as raw material for ethanol production, while two use corn. One of the units uses sugarcane straw, resulting in the second generation of ethanol.

Source: Nova Cana

*Translated by Ia Niani