Biodiesel Sector in Brazil Wants to Anticipate Mixing 13% Diesel to July 1st

Brazil, Business News/Analysis, Feedstocks, Field/Orchard/Plantation Crops/Residues, Marketing/Market Forces and Sales, Opinions, Policy

April 30, 2020

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(Explica) The biodiesel sector is pleading with the government to anticipate the mixture of 13% of biofuel to diesel by July 1, as a way to contribute to the development of the sector and stimulate the economy in the midst of the coronavirus pandemic, said representatives of the segment in this Tuesday.

In March, the mandatory mixture of biodiesel in diesel increased from 11% to 12%, following the government’s schedule, which currently forecasts an increase of 1 percentage point per year, reaching 15% by 2023. [nL2N27S10G]

An anticipation, in the sector’s view, would allow to mitigate negative effects resulting from a fall in the demand for energy in Brazil, in the face of social isolation to prevent the transmission of the new coronavirus.

Amid the effects of the crisis, the prospect of Brazilian biodiesel production this year was revised to 6.5 billion liters, against a previous projection of 6.9 billion liters, according to the Brazilian Biodiesel and Biokerosene Union (Ubrabio). In 2019, production was 5.9 billion liters.

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“The anticipation of B13 will allow Brazil to reverse this projection of decline in industrial activity and the production of biodiesel will rise to 7.2 billion liters, the consumption of soy oil to 5.5 million tons and the crushing will grow in 3.3 million tonnes, “he told ..

In addition, Ubrabio pointed out that the measure would allow the country to expand the supply of protein bran, bringing cost reductions for animal protein producers, and reducing imports of diesel A.

“Therefore, a solution capable of helping the country to increase the supply of food, increase energy security and contribute to the generation of GDP and jobs.” READ MORE

Anticipation of B13 will be taken to CNPE (biodieselbr)

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