Brazil Betting Sugar Cane Will Be Answer to Fuel and Poverty

Brazil’s Minister of Agriculture, Roberto Rodrigues, went yesterday, August 8, to São Luiz, capital city of the state of Maranhão, for the launch of Maranhão’s Bio-Energy Program.

The program will provide farmers around the country, but especially in the Northeast and Central-West, with incentives to cultivate sugarcane so it can be used for sugar, alcohol and biofuel.


“We hope to attract farmers who own low-quality land,” explained José Reinaldo, the governor of Maranhão.


The program goal is to build 20 new sugar-alcohol mills over a five-year period, which would mean a 15% rise in production nationwide.


There are a number of reasons that the program is being brought to Maranhão where there are six mills in operation, two of which were recently reactivated. The state has a number of comparative advantages: land prices, productivity, export potential and good weather.


There is indeed an enormous land price difference: a hectare in Maranhão goes for around US$ 80; in the sugarcane region of Ribeirão Preto, in the state of São Paulo, a hectare costs US$ 5,000. Even so, productivity in some regions of Maranhão is equal to or superior to that of São Paulo.


Maranhão has one of the country’s best ports, Itaqui, which is the only Brazilian port that can handle ships of over 360,000 tons. The state also has a good railroad system.


On the other hand, Maranhão has Brazil’s lowest Human Development Index. Governor Reinaldo says the Bio-Energy Program will help improve that as it is expected to create 400,000 jobs with investments totalling US$ 1 billion.


Agência Brasil

Tags:

Ads

You May Also Like

Brazil Sees Serious Hurdles to Economically Integrate Latin America

According to the Brazilian president Luiz Inácio Lula da Silva's foreign policy advisor Marco ...

Chemical Industry in Brazil Expects to Grow 19% This Year

Estimates by the Brazilian chemical industry say that industry should post revenues of US$ ...

Brazil Finds Clients for Its Expensive Toy Cars in Qatar

Fapinha, a Brazilian maker of mini vehicles for children, is going to export 150 ...

Cover Story

There are close to four million computers in Brazil today. But this number might ...

World Debates How to Make More Peace and Less Sex Tourism

The city of Porto Alegre, in the southernmost Brazilian state of Rio Grande do ...

Brazil Inflation Reaches 6% in Last 12 Months

Brazil’s Broad Consumer Price Index (Àndice Nacional de Preços ao Consumidor Amplo) (IPCA) rose ...

Brazil’s Carlinhos Antunes Cooks Smorgasbord of Arab, Jewish and Gypsy Sounds

The song is "Lamentos", written by famous Brazilian singer Pixinguinha, but the rhythm coming ...

Despite Spotty Record on Human Rights Brazil Gets UN Seat

Brazil, Chile and Argentina figure among the 15 members elected on Wednesday, May 21, ...

Brazil Exports Its Franchises to 39 Countries

According to the ABF (Brazilian Franchising Association), Brazil has 52 franchised brands abroad, in ...

Paraguay Warns Against Provocation While Brazil Plays War Games at the Border

War exercises by the Brazilian military along the border of Brazil with Paraguay are ...