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China Gets a Long Lesson on Ethanol in Brazil

Chinese experts are in Brazil to learn about the ethanol production process, automobile industries operations, and the sector’s legislation. The technical mission arrived in BrasÀ­lia yesterday and will later go to São Paulo and Rio. The mission will head back to China, Friday, April 16.

According to the delegation leader, Sun Xiaokang, China currently lives an expressive economic expansion, which is causing fuel scarcity. To face this situation, the country has developed pilot projects in nine provinces that mix alcohol to gasoline.


The proportion of ethanol used in these cases is 10%, which generates a consumption of 1 billion liters of alcohol per year.


“Brazil is in the avant-garde in the use of alcohol-gasoline mixture. The country has accumulated experiences in incentive policies and technology that deserve to be studied by China,” added Xiaokang.


He says that the Chinese government expects this visit to strengthen political and commercial ties, and to bring mutual benefits, which may include exporting the Brazilian product to that country.


According to the Secretary of the Production Development of the Ministry of Development, Industry, and External Trade, Antônio Sérgio de Melo, the possibility is real.


“Brazil always wants to export, but, at this moment, we will show our advancements and knowledge in the area.”


Melo says that the future will bring a trading increase that demands a longer negotiation with the Chinese government, which has just begun. For him, exports will not cause less alcohol availability in the Brazilian market.


Today, Brazil produces 10.4 billion of liters of alcohol per year, according to the São Paulo Sugarcane Agroindustry Union (UNICA).


The Secretary mentioned that China has experience with corn-based alcohol.


“But we know that sugarcane is more efficient, with lower production costs, and higher productivity levels,” he affirmed.


Data from the Ministry reveal that sugarcane alcohol costs US$ 0.20 per liter, while corn-based alcohol costs US$0.31. Alcohol produced from wheat costs US$0.48 and from beet, US$0.52.


Agência Brasil

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