One of Brazil’s Largest Grain Processors, Caramuru Alimentos, Will Invest R$ 210 Million to Expand Biodiesel Plant, Increasing Its Production Capacity by 100%

The Production Capacity of Caramuru’s Factory Will Increase by 100%

One of the largest grain processing companies with national capital is Caramuru Alimentos, which is increasing its investments in the biofuels market. The company celebrated its 59th anniversary last week and achieved its highest revenue in history in 2022. To commemorate, it announced an investment of R$ 210 million in the expansion of its biodiesel factory in Ipameri (GO).

The investment will enable the company to double its production capacity: if it currently produces 1,500 tons per day, it will be able to deliver 3,000 tons. Thus, it will increase the supply of oil, meal, and biodiesel from the unit located along the Vale railway. To complete the works by 2024, the company will use resources from the Constitutional Fund for Financing the North (FNO) distributed by the Bank of the Amazon or with a loan from BNDES.

Caramuru Bets on Soy Biodiesel Growth

According to a report by Valor Econômico, it is a fact that Caramuru bets on the growth of soy biodiesel. Its executive states: “the production scale of grains in Brazil comes from soy,” which at Caramuru we process to transform into value-added meal. The remaining oil we package under the Sinhá brand or convert into fuel.

Even with the new investments, the company is still finalizing two other projects, totaling over R$ 300 million. In Itumbiara (GO), Caramuru is completing its project with a soybean meal plant genetically modified for high protein content, known as SPC, which received an investment of R$ 242 million. Meanwhile, in Sorriso (MT), the company will finalize the construction of a refined glycerin factory, with a total expenditure of R$ 78 million.

Caramuru’s Record: 8.63 BILLION in Net Revenue for 2022

With the new investments and the expansion of the factory, Caramuru expects to maintain the same performance in 2023 as it had last year, when it recorded its highest net revenue, which increased by 13.6% and reached R$ 8.63 billion. The company’s net profit fell by 1.8% to R$ 348.7 million, but adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) rose by 10.8% to R$ 639.2 million.

According to the CEO of Caramuru, the performance was due to a combination of high prices of agricultural factory products, the high level of the dollar against the real, and the fact that the company has a complete portfolio. “The profit was only not higher than that of 2021 due to the change in the biofuel mandate. We had plans to be at B14 and ended up at B10,” he explained.