Brazil Tells US to Help Poor Countries Instead of Making Own Ethanol

Brazil is suggesting that the African nations start producing renewable fuel as a way to improve the area's economy, creating new jobs for a product expected to have big demand in the years to come.

Many regions in Africa have favorable soil and climate conditions for bio-fuels production, according to the president of Petrobras, José Sergio Gabrielli.

He was a member of the Brazilian delegation that accompanied president Luiz Inácio Lula da Silva in Davos, Switzerland, during the World Economic Forum, which ended this Sunday, January 28.

The suggestion for the African continent to become a producer of renewable fuel was made in Davos by president Lula, who offered Brazilian technology to help the Africans.

"We believe this might be a way out for these countries," said Gabrielli. "The key issue, though, is not technology, but rather the financial aspect," Lula claimed.

Lula suggested to the businessmen in attendance at the World Economic Forum that wealthy countries might finance projects for bio-fuel production.

"Bio-diesel generates employment, income and development, and the Brazilian program could be an example to be implemented in African and Central American countries, with financing from wealthy countries," Lula said.

Lula mentioned that instead of producing ethanol out of corn, for instance, the United States should finance bio-diesel projects in poor countries, which could also be cheaper.

Professor Mário Ferreira Presser, who coordinates the Economic Diplomacy Course at the University of Campinas (Unicamp), in the southeastern Brazilian state of São Paulo, said that bio-diesel projects "have many attractive aspects: they would benefit Africans, Europeans and Brazilians. These projects would address the issues of climate and poverty, and liberate the sugar and alcohol markets."

"The strategy of Brazilian businessmen consists of showing that they will not single-handedly become major ethanol producers, but rather that many other developing countries may benefit from this market opening," says Professor Presser.

"The World Bank has also shown enthusiasm regarding the issue. Since no one knows exactly how to deal with the African problem, turning the continent into a producer of a commodity for which there is a guaranteed demand would be a tremendous step forward, and a great achievement for Brazil," according to Mário Presser.

"This is a business that should attract the interest of leading investors, because the prospect of making profit is very high," said Gabrielli.

Tags:

Ads

You May Also Like

Sold as Cheap, Green Energy Brazil’s Belo Monte Dam Is Too Costly to Indians and Amazon

The April 20th date, already changed from March 30th, that was scheduled for staging ...

Brazilian Klabin and Its Big Overseas Plans

The Klabin company is the largest paper and cardboard for packaging manufacturer in Brazil, ...

Corruption and Misconduct Won’t Be Tolerated, Warns Brazilian Minister

Brazil’s minister of Communications, Paulo Bernardo, told in a interview last week that the ...

Brazil Produces 100,000 Tons of Rubber a Year, 1/3 of Its Consumption

Brazilian natural rubber production should reach 116,300 tons in 2006. This is the estimate ...

Brazil to Export US$ 2 Billion in Software

President Luiz Inácio Lula da Silva reaffirmed that, until 2007, Brazil intends to export ...

Sinatra Revealed Me the Sounds of Brazil

Bossa nova combines the textures and rhythms of samba, jazz, 20th century classical music, ...

Clio made by Renault in Brazil

Boom Times for French Carmaker Renault in Brazil: 61% Growth Anticipated

Renault Brazil, the Brazilian subsidiary of the French carmaker, increased its vehicle production in ...

Brazil’s Watchdog Agency Has Not Enough Hands to Investigate All Corruption Cases in High Places

The Brazilian minister who heads the government’s watchdog agency Controladoria-Geral da União, CGU – ...

US-Style FTAA Would Have Been Wrong Medicine, Says Brazilian Minister

The Brazilian Minister of Foreign Relations, Celso Amorim, admitted that some sectors in Brazil ...

Brazil Wants Higher Tariff to Bar Foreign Rice from Mercosur

Rice planters from the Mercosur will be meeting to decide a Brazilian proposal to ...