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Brazil to Boost Sugarcane Output

29 February 2012

BRAZIL - The Brazilian federal government is developing a strategic plan to increase sugarcane output during the 2012-2015 period, for use as ethanol fuel.

The aim of the strategy is to solidify ethanol's role as the leading fuel for Brazil's fleet of light vehicles.

It would see the proportion of anhydrous ethanol to gasoline rise to 25 per cent. Furthermore, the percentage of light vehicles using hydrated ethanol, with 7 per cent water, would be pushed up to between 50 per cent and 55 per cent.

A $29 billion (€21.61 billion) renovation of 6.4 million hectares (15.8 million acres) is included within the Government's plans, with another investment of around $8.5 billion (6.33 billion) to increase the number of processing factories also on the horizon.

The Brazilian Development Bank, a federal public company associated with the ministry of development, industry and foreign trade, will fund the project.

TheCropSite News Desk

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