Onthe
decline
I
n a recent period, the vehicles powered by
ethanol applied their brakes and reduced
their impetus to use this biofuel, extract-
ed fromsugarcane, andBrazil excels in the
production of this fuel from this raw ma-
terial, and occupies the position as biggest
global producer and second biggest consum-
er, alsoconsidering theuseof corn formaking
thisfuel.In2016,totalconsumptionwasdown
9 percent from the previous year, especially
hydrated ethanol, while anhydrous ethanol
(mixedwith common gasoline) experienced a
slightincreaseinconsumption,byvirtueofthe
risinguseofthecommonfossilfuel.
Total ethanol production in the 2016/17
crop year, likewise experienced a reduction
in demand – 8.7 percent, according to a sur-
vey conducted by the National Food Supply
Agency (Conab), and 9.8 percent, according
to the Brazilian Sugarcane Industry Associa-
tion (Unica), which registered a percentage
of 9.1 percent for the Center-South region,
besides a decline in the consumption of hy-
dratedethanol, bigger amountsof sugarcane
destinedforthemanufactureofsugar,whose
pricesweremoreattractive.
In light of smaller available volumes, ex-
portsofbiofuelalsowentdownin2016,which,
in general, are not yet expressive, while im-
ports rose, particularly for meeting the needs
of the North and Northeast. Imports of the
product, coming from the nation that leads
the sector, theUnitedStates (which, by coinci-
dence, is also the biggest importer of the Bra-
zilianbiofuel),havegoneupinthefirstmonths
in2017,totheextentthatthesectorrequested
Productionand consumption of
ethanolbythesecondlargestglobalproducerregistereda
periodofdecline,butthereareexpectationsforatrendreversal
Sílvio Ávila
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