Ethanol From Corn and Other Grains Should Reach 7.7 Billion L in Brazil

“The growth in the supply of corn ethanol follows market trends, which seek cleaner energy sources, as is the case with bioethanol…”

Guilherme Nolasco is the executive president of the National Corn Ethanol Union – UNEM, with a degree in veterinary medicine from the University of Marília, and an MBA from FGV.

Guilherme Nolasco, executive president of UNEM


AgriBrasilis – Will corn ethanol production surpass that of sugarcane?

Guilherme Nolasco – The production of ethanol from corn and sugarcane has become complementary. In just over six years, the production of biofuels from corn and other grains will reach 7.7 billion liters (estimated for the 2024/25 season) and is expected to exceed 20% of the total produced in the country (corn and sugarcane).

The growing participation, however, does not represent a replacement of the raw material used, but the expansion of the industrial complex of biofuels from grains, based on the opportunity to industrialize exportable surpluses and a linear supply of fuels to the market, and mitigating the effects of the sugarcane off-season.

“The growing participation, however, does not represent a replacement of the raw material used, but the expansion of the industrial park of biofuels from grains”

AgriBrasilis – How has the supply of corn ethanol evolved? Is it possible for Brazil to become an exporter?

Guilherme Nolasco – The growth in the supply of corn ethanol follows market trends, which are seeking cleaner energy sources, such as bioethanol.

With the approval of public policies to foster the energy transition of mobility, such as increasing the percentage of bioethanol in gasoline and encouraging the production of vehicles that use renewable fuel sources, the growth in production should initially serve the domestic market. Exports should be the focus of other products in this production chain, such as DDG/DDGS, which is beginning to gain international customers.

Note: DDG – Distiller’s Dried Grains: solid residue left over after removing ethanol from the fermentation liquid; DDGS – Distiller’s Dried Grains with Solubles: includes soluble fermentation residues, dried together with DDG.

AgriBrasilis – Why has corn biofuel grown more than sugarcane biofuel?

Guilherme Nolasco – Growth is driven by a greater supply of cereals, especially grains, which until now were exported without any added value.

AgriBrasilis – When is it advantageous to produce corn for ethanol?

Guilherme Nolasco – The corn used in bioethanol production comes from the off-season grain produced in the Brazilian Midwest, and is an integrated crop with soybeans, and is not produced exclusively for ethanol.

The corn ethanol industry has consolidated itself in areas of high grain production, where corn is a supporting crop in this production.

AgriBrasilis – What are the co-products of corn ethanol production?

Guilherme Nolasco – Biorefineries have a diverse range of products. In addition to bioethanol, there is also DDG/DDGS, used for animal nutrition, and corn oil, which is used as a raw material for various applications. In addition, all the electricity used by biorefineries comes from biomass and the surplus is made available in the national electricity system.

AgriBrasilis – What are the differences between this production chain and the sugarcane ethanol chain? Is it more profitable to produce corn ethanol?

Guilherme Nolasco – The industries are complementary, so much so that the main sugarcane ethanol industries are also producing from corn, the so-called “flex industrial plants”. The main difference is the possibility of storing corn, making it possible to produce ethanol throughout the year, using full capacity. The final product is the same, what changes is the life cycle and process.

AgriBrasilis – How long will sugarcane ethanol be a reference for pricing? Why?

Guilherme Nolasco – Sugarcane ethanol will continue to be a market leader because of its history, volume and participation. The National Alcohol Program – Proálcool is an example of this. The production of ethanol from corn and cereals is complementary to the production of ethanol from sugarcane.

 

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