The Big Insight! Brazil Takes Advantage of Ethanol Crisis and Triples Fuel Shipments to Europe

Written by Roberta Souza

Published on 21/09/2022 at 10:04

Updated on 21/09/2022 at 13:19

Foto: reprodução pixabay.com

Seja o primeiro a reagir!

Brazil, in August 2022, Tripled the Ethanol Volumes Shipped to the World Compared to August 2021. There Were Nearly 290 Thousand m³, or 290 Million Liters of Fuel

Brazil is ‘exporting’ the ethanol crisis to Europe. The surplus of ethanol, which is not being consumed internally, is being directed to exports, for example, to Europe, even though ethanol production is declining and sugar production is on the rise.

Increase in Ethanol Exports

The alarm has already sounded at Cropenergies, a German company and the largest producer of biofuel in the European Union (EU), which threatens to shut down some plants, including one in the United Kingdom.

Together with rising energy costs and the blockade of Russian gas, the company accuses the larger influx of cheaper Brazilian ethanol. In August 2022, sales to the Netherlands, which is the gateway to the EU, reached 115 thousand cubic meters.

ARTICLE CONTINUES BELOW

Major Oil, Gas, and Energy Event Will Take Place in Brazil: Macaé Energy Will Gather Petrobras, Equinor, Prio, Among Other Suppliers and Energy Executives for Business, Networking, and Employment Opportunities

The Technical Agenda and the Fair in the City of Macaé Should Boost Discussions on Investments, Energy Transition, and Development of the Oil, Gas, and Energy Chain in the National...

Paulo Nogueira

In August 2022, Brazil tripled the volumes shipped of ethanol to the world compared to August 2021. There were nearly 290 thousand m³, or 290 million liters of fuel. Compared to July, the volume increase reached 110 thousand m³ of ethanol.

In the first seven months of 2022, a total of 1.224 million m³ of ethanol was recorded, while in the entire year of 2021 shipments were 1.93 million, 27% lower than in 2020.

If in September the increase in exports is significant, with the biofuel losing ground to gasoline, which has been happening since the reduction of ICMS and the discounts given by Petrobras (PETR4), at least a tie should be achieved in the annual comparison.

Understand the Energy Crisis in Europe

The energy crisis in Europe has forced giants of the European industry, such as ArcelorMittal, Alcoa, and Arc International, to lay off workers and reduce production. Industrial production in the eurozone fell by 2.3% in July compared to the same period in 2021, the largest decline recorded in over two years.

The steel multinational ArcelorMittal, for example, as soon as it announced the cuts, stated that it would close some units in Germany and Spain. The steelmaker uses energy intensively in its blast furnaces, producing more than 3.65 million tons per year in both countries.

Reiner Blascheck, CEO responsible for the headquarters in Germany, stated that the high costs of gas and electricity are putting strong pressure on the company’s competitiveness.

In response to the sanctions imposed by the West, the Russians are increasingly cutting natural gas distribution to the rest of Europe.

The energy minister of the Czech Republic reported that he will propose the calling of an extraordinary meeting of the European Union Energy Council as soon as possible. Meanwhile, the Portuguese government announced new measures to soften the increase in natural gas prices.

In France, which is a country highly dependent on nuclear energy, the shutdown of numerous reactors due to maintenance needs has caused the cost per megawatt-hour to rise to ten times what it was a year ago. In Germany, which is heavily dependent on Russian gas, the ongoing supply cuts by the Russian Gazprom and the expected shutdown of the Nordstream pipeline indicate a similar situation.

To complicate the situation in Europe even further, renewable energies have suffered the consequences of one of the hottest and driest summers. Rivers are at low levels, without flow to move hydroelectric plants at full capacity. Wind has been absent during successive heat waves that have hit the continent.

Plants in Brazil Decide to Produce More Sugar Than Ethanol Due to Drastic Tax Cuts on Fuel

Profit from ethanol sales has dropped compared to that of sugar, leading the plants to shift their production efforts away from fuel.

The drastic cuts in fuel taxes by President Jair Bolsonaro (PL), mainly on gasoline, are expected to lead plants to avoid biofuel ethanol and invest heavily in sugar.

Check out the full article by CLICKING HERE!

The Big Insight! Brazil Takes Advantage of Ethanol Crisis and Triples Fuel Shipments to Europe

Brazil, in August 2022, Tripled the Ethanol Volumes Shipped to the World Compared to August 2021. There Were Nearly 290 Thousand m³, or 290 Million Liters of Fuel

Increase in Ethanol Exports

Major Oil, Gas, and Energy Event Will Take Place in Brazil: Macaé Energy Will Gather Petrobras, Equinor, Prio, Among Other Suppliers and Energy Executives for Business, Networking, and Employment Opportunities

Understand the Energy Crisis in Europe

Plants in Brazil Decide to Produce More Sugar Than Ethanol Due to Drastic Tax Cuts on Fuel

At just 14 years old, a boy creates a system without energy, using steel pipes buried in the ground, that irrigates seedlings with moisture from the air, to combat the water scarcity threatening reforestation in northern China.

Where there was only sand and wind at 40 degrees, China built a megacity of 500,000 inhabitants with farms, wineries, and universities in the middle of the desert using melted glacier water from hundreds of kilometers away.

At over 8,800 meters above sea level, the summit of Mount Everest is made up of rocks that originated at the bottom of an ocean about 500 million years ago and were pushed to the highest point on Earth by the collision of tectonic plates.

The German economist Wolf-Peter Schill has no doubts: “Electric cars are already far superior to cars with internal combustion engines.”

Lula’s government changes rule in important benefit and thousands of Brazilians will no longer receive it; see what has changed.

Roraima bets on the sun to escape high tariffs: Amid the energy crisis and price hikes, solar energy is growing in Roraima and transforming consumption in the North region.

Scientists want to turn internet cables into sensors to listen for tremors on the Moon, and the plan could permanently change how the Artemis missions will explore, map risks, and protect astronauts on the lunar surface.

The German economist Wolf-Peter Schill has no doubts: “Electric cars are already far superior to cars with internal combustion engines.”

Researchers discover a possible hydrogen deposit of up to 46 million tons beneath an ancient coal basin, and the volume could exceed half of the entire global production.

While the world looks at oil, the war with Iran is already disrupting helium supply from Qatar, affecting car and iPhone chips, threatening AI expansion, and putting pressure on aluminum packaging at the highest value in four years.

Global warming will expose a treasure hidden under the ice of Antarctica and may spark an international dispute over gold and valuable minerals.

The Argentine government celebrates the lowest poverty rate in 7 years, but experts warn that the methodology has changed, real wages have fallen, unemployment has risen, and the number of people on the streets of Buenos Aires has increased by 57% since Milei took office.

The Big Insight! Brazil Takes Advantage of Ethanol Crisis and Triples Fuel Shipments to Europe

Brazil, in August 2022, Tripled the Ethanol Volumes Shipped to the World Compared to August 2021. There Were Nearly 290 Thousand m³, or 290 Million Liters of Fuel

Increase in Ethanol Exports

Major Oil, Gas, and Energy Event Will Take Place in Brazil: Macaé Energy Will Gather Petrobras, Equinor, Prio, Among Other Suppliers and Energy Executives for Business, Networking, and Employment Opportunities

Understand the Energy Crisis in Europe

Plants in Brazil Decide to Produce More Sugar Than Ethanol Due to Drastic Tax Cuts on Fuel

At just 14 years old, a boy creates a system without energy, using steel pipes buried in the ground, that irrigates seedlings with moisture from the air, to combat the water scarcity threatening reforestation in northern China.

Where there was only sand and wind at 40 degrees, China built a megacity of 500,000 inhabitants with farms, wineries, and universities in the middle of the desert using melted glacier water from hundreds of kilometers away.

At over 8,800 meters above sea level, the summit of Mount Everest is made up of rocks that originated at the bottom of an ocean about 500 million years ago and were pushed to the highest point on Earth by the collision of tectonic plates.

The German economist Wolf-Peter Schill has no doubts: “Electric cars are already far superior to cars with internal combustion engines.”

Lula’s government changes rule in important benefit and thousands of Brazilians will no longer receive it; see what has changed.

Roraima bets on the sun to escape high tariffs: Amid the energy crisis and price hikes, solar energy is growing in Roraima and transforming consumption in the North region.

Scientists want to turn internet cables into sensors to listen for tremors on the Moon, and the plan could permanently change how the Artemis missions will explore, map risks, and protect astronauts on the lunar surface.

The institute that trained the greatest aerospace engineers in Brazil has just opened its first campus outside São Paulo after 75 years: ITA Ceará will have R$ 445 million, new courses in energy and systems, and classes are expected to start in 2027.

Luciano Hang, owner of Havan, goes to Juiz de Fora after the tragedy in February, brings R$ 1 million, hands out R$ 2,000 cards, and donates up to R$ 15,000 to victims in the region.

The Brazilian passport allows legal residence in dozens of countries without the need for a prior visa, and most Brazilians are unaware that they can apply for residency directly upon arriving in nations in South America, Africa, and even Europe.

Petrobras sends a message to Brazilian truck drivers after fuel collapse and reveals plan to have 100% domestic diesel.

Mothers and daughters come together, create an ‘express’ beauty salon and turn the idea into a network with 21 units, revenue of R$ 16.7 million and 12,000 subscribers.

The German economist Wolf-Peter Schill has no doubts: “Electric cars are already far superior to cars with internal combustion engines.”

Researchers discover a possible hydrogen deposit of up to 46 million tons beneath an ancient coal basin, and the volume could exceed half of the entire global production.

While the world looks at oil, the war with Iran is already disrupting helium supply from Qatar, affecting car and iPhone chips, threatening AI expansion, and putting pressure on aluminum packaging at the highest value in four years.

Global warming will expose a treasure hidden under the ice of Antarctica and may spark an international dispute over gold and valuable minerals.

The Argentine government celebrates the lowest poverty rate in 7 years, but experts warn that the methodology has changed, real wages have fallen, unemployment has risen, and the number of people on the streets of Buenos Aires has increased by 57% since Milei took office.