Behind every great fall, there is a chance for a new beginning. And no one embodies this reality better than Eike Batista, the tycoon who was once one of the richest men in the world and saw his empire disintegrate.
Now after almost sinking in the market oil and face serious legal problems, Eike Batista comes up with a new and ambitious bet: transform Brazilian agribusiness with super sugarcane capable of revolutionizing ethanol production and even replacing plastic.
The resurgence in agribusiness
Eike Batista, who was once among the greatest global fortunes, with assets valued at billions of dollars, saw his career plunge into chaos with the collapse of his oil company OGX and a series of subsequent failures in other businesses.
In 2013, OGX abandoned operations in the Campos Basin, marking the beginning of a decline that resulted in the almost total loss of its fortune.
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In 2022, the Federal Revenue estimated that his wealth had shrunk to around R$8,2 million. Even after the financial collapse and arrests linked to Operation Lava Jato, Eike did not give up.
Now, it resurfaces on the national scene, but in a different sector: agribusiness. During an interview with the Market Makers podcast, Batista revealed that he is investing in a new variety of sugar cane that can triple ethanol production per hectare.
According to the businessman, This “super sugarcane” can also produce up to 12 times more biomass, which promises to revolutionize the renewable energy market in Brazil.
The promise of an agricultural revolution
For years, Brazil has been the world's largest producer of sugar cane, with a cultivated area of more than 9,75 million hectares.
Annual production exceeds 578 million tons, placing the country as a global leader in ethanol production technology. Batista, however, believes that there is still a lot to be done and that his innovation could be a game changer.
According to Eike, it took 11 years of research and studies to arrive at this new sugarcane variety.
“These crazy scientists of mine bought all the germplasm from sugar cane available in Brazil, including samples from other parts of the world, such as the United States, France and Barbados”, stated Batista.
Germplasm is a genetic bank that allows the preservation and improvement of specific characteristics of a species, essential for the development of new varieties.
A new business model
Eike Batista is optimistic about the acceptance of the new sugar cane by Brazilian producers. According to him, the plant's high productivity will make it irresistible to mill owners, who will have the opportunity to replace their current plantations with this more efficient variety.
The business model proposed by Batista involves sharing profits with producers, something he believes to be beneficial for all parties involved.
“Every mill owner will want to plant our super sugarcane because it is three times more efficient”, highlights Eike. The idea is that Batista's company shares the gains obtained from increased productivity, which should encourage the rapid adoption of this new technology.
Replacing plastic with sugarcane bagasse
In addition to the focus on ethanol production, Eike Batista sees another great potential in super sugarcane: the replacement of plastic with the plant's bagasse.
According to him, the bagasse that is currently burned to generate energy can be transformed into biodegradable packaging, straws and other products that are currently made of plastic.
During the interview, Batista explained that burning bagasse for US$20 per ton is a waste of economic and environmental potential.
“Sugar bagasse will be used to replace the world’s plastic. Do you know how much a ton transformed into packaging, into straws, into things for packaging fast food, delivery, etc. is worth? From a thousand to 4 thousand dollars”, emphasized Batista.
For him, Brazil must take advantage of this opportunity to lead a new green industrial revolution, based on sugarcane biomass.
A risky but promising bet
Even with all the promises, Eike Batista's project is still a gamble. The businessman's history is marked by great successes, followed by abrupt declines.
However, his new venture in agribusiness brings an innovative perspective to a sector in which Brazil already has a prominent position.
The future will tell whether Eike Batista's “super sugarcane” will be the next great success of Brazilian agribusiness or another chapter in its tumultuous business history.
However, the businessman himself seems confident in his new project, believing that he can once again transform the market, as he did in his best times.
Can Eike Batista's new bet on agribusiness really transform Brazil into a global power in the production of biofuels and biodegradable materials, or will we be facing another chapter of ups and downs in the businessman's life?
Who can still believe this guy!!!!
If you don't know, buy it 🫣 Hey there, noble businessman! Unfortunately, the world is cruel! A promise is a promise!😉
Congratulations Mr EIKE