Brazil starts pro-ethanol diplomatic offensive

Brazil is going to try really hard to convince the world that Brazilian sugarcane ethanol is just great. The Latin American giant is about to start what they're calling a "diplomatic offensive" that will culminate in a World Biofuels Summit from November 17th to 21th in São Paulo.
According to André Caranha Correa, Chancelor's Director of Energy, there isn't enough information out there on Brazilian ethanol. First of all, Correa said, it should be excluded from the world rise of feedstocks. He also said that Brazil started working with ethanol in 1975 after the 1973 oil crisis, so it's a well-known and proven technology / solution. He compared sugarcane with USA's corn-based ethanol, saying the U.S. fuel could affect food prices. He insisted that ethanol is more environmental friendly than gasoline, even denying that the Amazon forest was being destroyed to produce sugarcane (maybe not, but don't forget this). As for the poor work conditions we've heard about, Correa said that these were completely against Brazilian legislation and that the Goverment was performing routine inspections to put an end to the dreadful situations.
Why is Brazil doing this? Remember that Brazil is fighting to export its ethanol into the EU. The "diplomatic offensive" aims to respond to all kind of attacks and defend the sustainability of this biofuel.
[Source: Agencia EFE via Econoticias]
Reader Comments (Page 1 of 1)
Jeff 5:13PM (5/14/2008)
Is Brazilian ethanol subsidized by anyone, or would this be entirely "free trade" ethanol?
I'm interested... if we can end the subsidies and get it to stand on it's own.
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Trovos 4:37PM (5/14/2008)
US policy here is just stupid. Wouldn't we rather be importing fuel from peaceful, friendly Brazil rather than the Arabs? Instead, we are doing the opposite.
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Half Canadian 11:36AM (5/15/2008)
If we bought more Brazilian Ethanol, wouldn't they just cut down more of the Amazon forest to grow more sugar cane?
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northgarednecke 1:18PM (5/15/2008)
The U.S. is imposing a tax or tariff on Brazil's ethanol.
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Bruno Santos 4:15PM (6/06/2008)
Brazilian ethanol does not receive any kind of subsidy whatsoever. It's just cheap and good. Almost 90% of the cars sold in Brazil are flex-fuel and more than 50% of the fuel used in Brazil is ethanol.
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Jeff Saeli 1:13PM (6/24/2008)
If you want to know why we are not importing ethanol from Brazil, you need to ask Obama and the Democrat controlled congress. President Bush would like to import Brazil's ethanol, but there is the matter of the tariff placed on the product and the .51 per gallon subsidy the congress provides to ethanol producers. Yes, dropping the tariff and subsidy would wreck the American ethanol industry, but if it would help the people of this country, it might be worth it. We are paying a fortune through the subsidy to keep the industry alive. At least we should debate all sides of importing sugar cane based ethanol.. Corn produced ethanol is less efficient than sugar cane ethanol, plus the use of corn is driving up the price of food. If the Democrats really care about the poor, they would explore all possible short term solutions, rather than have us believe our alternative fuel's program can serve us in the short term. Brazilian ethanol might be one source that can help us, now.
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Almir 11:13AM (6/28/2008)
I will take this opportunity to add some useful words about bio-fuels.
As rising food prices continue to threaten food security around the world, Brazilian ethanol is one obvious solution being largely ignored. Brazil set up its efficient fuel alternative program in the 70s, when the first oil crisis hit the world. Now Brazilians drive cars moved by ethanol or gasoline mixed in any proportion. And since long ago gasoline in Brazil is not pure, but blended with 25% ethanol, resulting that internal consumption of ethanol in the country is already superior to gasoline's. Ethanol in Brazil is already much cheaper than gasoline at current international oil prices.
Brazilian ethanol is produced from sugarcane without any governmental subsidies and the fuel has a very competitive price. Researchers are increasing the productivity (more fuel extracted per sq.km. of crops) by adapting sugar canes species to each type of land and topography. The productivity now is more than 3 times the records of 30 years ago and it keeps on raising, being expected to soar very soon when the technology to extract ethanol from cellulosic materials (crop waste) will be available for large scale production.
Ethanol production in Brazil uses just one percent of total arable land, and the country can expand its sugarcane fields without disturbing sensitive land areas (like Amazon), just by tapping land such as depleted pastures. Just raising intensity of cattle production from the current 0.8 animals per hectare to 1.2 animals (a target already far exceeded in many parts of the country) would release about 80m hectares of land for crops. There remains plenty of room for expansion: the country has 355 million hectares of farmable land, of which 7 million hectares under sugarcane of which the amount used to make ethanol fills 3.4 million hectares (compared to 200m hectares of pasture). Another 105.8 million hectares remained available, which allows Brazil to increase ethanol production without affecting the environment or food. By comparison, the additional terrain for Brazilian crops could surpass all of the land now under cultivation in the European Union.
Meanwhile, Brazilian food production has doubled in the past decade and that’s the most impressive thing about ethanol from sugarcane: in contrast to corn-based American ethanol or biodiesel derived from soybean oil, there is no cost pressure and no competition with food.
Another persuasive fact for incentiving ethanol production in Brazil is the electric energy that is generated as a by-product of ethanol processing: taking into consideration the energetic balance, the electricity generated in sugar cane processing in Brazil is almost as large as its ethanol equivalence. It's like a two large scale hydroelectric plants generating electricity exactly when it's more necessary: in the Brazilian dry season! So the producers of ethanol are also having increasing revenues by selling electricity to the country's national electric system, which has become an strategic and reliable source of electricity. For all these reasons, ethanol in Brazil is a win-win game for the country, the farmers, the consumers and the environment.
Off course Brazilian ethanol does not intend to concur with petroleum, but it could ease the current oil crisis by supplying a small part of the world energy demand. It is only necessary to look at the increasing demand from the non-oil countries like India and China to understand that the very high price of oil is here to stay. With the existing price of oil, the permanent threat of war in the Middle East, the international geopolitics, and the environmental problems, there seems to be no other easy solution for the energy problem away from the liquid ethanol produced out of sugarcane. This is certainly a very important aspect of the Brazilian economy for the next few years and the rest of the world will have to accept the reality of the liquid ethanol from sugarcane as the right and best solution for the oil crisis.
The problem is that much of Brazil’s ethanol exports continues to face prohibitive tariffs and other barriers to developed markets in the US and Europe. The United States currently places a 54-cent-a-gallon tariff on ethanol imported from Brazil. Consumers in the country are being severely affected, particularly in areas such as the Southeast, where corn does not exist and the logistics to bring ethanol from the center of the country is practically impossible. It is difficult to understand the maintenance these tariff levels, except for political reasons. The developed world appears purposely myopic in relation to the opportunities Brazil presents, maybe it's because that would upset wealthy US and European farmers – a price apparently not worth paying.
Almir – Sao Paulo, SP – Brazil (almiramerico@gmail.com)
Reply
Almir 5:50PM (6/28/2008)
I will take this opportunity to add some useful words about bio-fuels.
As rising food prices continue to threaten food security around the world, Brazilian ethanol is one obvious solution being largely ignored. Brazil set up its efficient fuel alternative program in the 70s, when the first oil crisis hit the world. Now Brazilians drive cars moved by ethanol or gasoline mixed in any proportion. And since long ago gasoline in Brazil is not pure, but blended with 25% ethanol, resulting that internal consumption of ethanol in the country is already superior to gasoline's. Ethanol in Brazil is already much cheaper than gasoline at current international oil prices.
Brazilian ethanol is produced from sugarcane without any governmental subsidies and the fuel has a very competitive price. Researchers are increasing the productivity (more fuel extracted per sq.km. of crops) by adapting sugar canes species to each type of land and topography. The productivity now is more than 3 times the records of 30 years ago and it keeps on raising, being expected to soar very soon when the technology to extract ethanol from cellulosic materials (crop waste) will be available for large scale production.
Ethanol production in Brazil uses just one percent of total arable land, and the country can expand its sugarcane fields without disturbing sensitive land areas (like Amazon), just by tapping land such as depleted pastures. Just raising intensity of cattle production from the current 0.8 animals per hectare to 1.2 animals (a target already far exceeded in many parts of the country) would release about 80m hectares of land for crops. There remains plenty of room for expansion: the country has 355 million hectares of farmable land, of which 7 million hectares under sugarcane of which the amount used to make ethanol fills 3.4 million hectares (compared to 200m hectares of pasture). Another 105.8 million hectares remained available, which allows Brazil to increase ethanol production without affecting the environment or food. By comparison, the additional terrain for Brazilian crops could surpass all of the land now under cultivation in the European Union.
Meanwhile, Brazilian food production has doubled in the past decade and that’s the most impressive thing about ethanol from sugarcane: in contrast to corn-based American ethanol or biodiesel derived from soybean oil, there is no cost pressure and no competition with food.
Another persuasive fact for incentiving ethanol production in Brazil is the electric energy that is generated as a by-product of ethanol processing: taking into consideration the energetic balance, the electricity generated in sugar cane processing in Brazil is almost as large as its ethanol equivalence. It's like a two large scale hydroelectric plants generating electricity exactly when it's more necessary: in the Brazilian dry season! So the producers of ethanol are also having increasing revenues by selling electricity to the country's national electric system, which has become an strategic and reliable source of electricity. For all these reasons, ethanol in Brazil is a win-win game for the country, the farmers, the consumers and the environment.
Off course Brazilian ethanol does not intend to concur with petroleum, but it could ease the current oil crisis by supplying a small part of the world energy demand. It is only necessary to look at the increasing demand from the non-oil countries like India and China to understand that the very high price of oil is here to stay. With the existing price of oil, the permanent threat of war in the Middle East, the international geopolitics, and the environmental problems, there seems to be no other easy solution for the energy problem away from the liquid ethanol produced out of sugarcane. This is certainly a very important aspect of the Brazilian economy for the next few years and the rest of the world will have to accept the reality of the liquid ethanol from sugarcane as the right and best solution for the oil crisis.
The problem is that much of Brazil’s ethanol exports continues to face prohibitive tariffs and other barriers to developed markets in the US and Europe. The United States currently places a 54-cent-a-gallon tariff on ethanol imported from Brazil. Consumers in the country are being severely affected, particularly in areas such as the Southeast, where corn does not exist and the logistics to bring ethanol from the center of the country is practically impossible. It is difficult to understand the maintenance these tariff levels, except for political reasons. The developed world appears purposely myopic in relation to the opportunities Brazil presents, maybe it's because that would upset wealthy US and European farmers – a price apparently not worth paying.
Almir – Sao Paulo, SP – Brazil (almiramerico@gmail.com)
Reply
Prof.Hans-Jürgen Franke 11:21PM (9/15/2008)
ETHANOL-PRODUCTION WITH BLUE-GREEN-ALGAE
University of Hawai'i Professor Pengchen "Patrick" Fu developed an innovative technology, to produce high amounts of ethanol with modified cyanobacterias, as a new feedstock for ethanol, without entering in conflict with the food and feed-production .
Fu has developed strains of cyanobacteria — one of the components of pond scum — that feed on atmospheric carbon dioxide, and produce ethanol as a waste product.
He has done it both in his laboratory under fluorescent light and with sunlight on the roof of his building. Sunlight works better, he said.
It has a lot of appeal and potential. Turning waste into something useful is a good thing. And the blue-green-algae needs only sun and wast- recycled from the sugar-cane-industry, to grow and to produce directly more and more ethanol. With this solution, the sugarcane-based ethanol-industry in Brazil and other tropical regions will get a second way, to produce more biocombustible for the worldmarket.
The technique may need adjusting to increase how much ethanol it yields, but it may be a new technology-challenge in the near future.
The process was patented by Fu and UH in January, but there's still plenty of work to do to bring it to a commercial level. The team of Fu foundet just the start-up LA WAHIE BIOTECH INC. with headquarter in Hawaii and branch-office in Brazil.
PLAN FOR AN EXPERIMENTAL ETHANOL PLANT
Fu figures his team is two to three years from being able to build a full-scale
ethanol plant, and they are looking for investors or industry-partners (jointventure).
He is fine-tuning his research to find different strains of blue-green algae that will produce even more ethanol, and that are more tolerant of high levels of ethanol. The system permits, to "harvest" continuously ethanol – using a membrane-system- and to pump than the blue-green-algae-solution in the Photo-Bio-Reactor again.
Fu started out in chemical engineering, and then began the study of biology. He has studied in China, Australia, Japan and the United States, and came to UH in 2002 after a stint as scientist for a private company in California.
He is working also with NASA on the potential of cyanobacteria in future lunar and Mars colonization, and is also proceeding to take his ethanol technology into the marketplace. A business plan using his system, under the name La Wahie Biotech, won third place — and a $5,000 award — in the Business Plan Competition at UH's Shidler College of Business.
Daniel Dean and Donavan Kealoha, both UH law and business students, are Fu's partners. So they are in the process of turning the business plan into an operating business.
The production of ethanol for fuel is one of the nation's and the world's major initiatives, partly because its production takes as much carbon out of the atmosphere as it dumps into the atmosphere. That's different from fossil fuels such as oil and coal, which take stored carbon out of the ground and release it into the atmosphere, for a net increase in greenhouse gas.
Most current and planned ethanol production methods depend on farming, and in the case of corn and sugar, take food crops and divert them into energy.
Fu said crop-based ethanol production is slow and resource-costly. He decided to work with cyanobacteria, some of which convert sunlight and carbon dioxide into their own food and release oxygen as a waste product.
Other scientists also are researching using cyanobacteria to make ethanol, using different strains, but Fu's technique is unique, he said. He inserted genetic material into one type of freshwater cyanobacterium, causing it to produce ethanol as its waste product. It works, and is an amazingly efficient system.
The technology is fairly simple. It involves a photobioreactor, which is a
fancy term for a clear glass or plastic container full of something alive, in which light promotes a biological reaction. Carbon dioxide gas is bubbled through the green mixture of water and cyanobacteria. The liquid is then passed through a specialized membrane that removes the
ethanol, allowing the water, nutrients and cyanobacteria to return to the
photobioreactor.
Solar energy drives the conversion of the carbon dioxide into ethanol. The partner of Prof. Fu in Brazil in the branch-office of La Wahie Biotech Inc. in Aracaju - Prof. Hans-Jürgen Franke - is developing a low-cost photo-bio-reactor-system. Prof. Franke want´s soon creat a pilot-project with Prof. Fu in Brazil.
The benefit over other techniques of producing ethanol is that this is simple and quick—taking days rather than the months required to grow crops that can be converted to ethanol.
La Wahie Biotech Inc. believes it can be done for significantly less than the cost of gasoline and also less than the cost of ethanol produced through conventional methods.
Also, this system is not a net producer of carbon dioxide: Carbon dioxide released into the environment when ethanol is burned has been withdrawn from the environment during ethanol production. To get the carbon dioxide it needs, the system could even pull the gas out of the emissions of power plants or other carbon dioxide producers. That would prevent carbon dioxide release into the atmosphere, where it has been implicated as a
major cause of global warming.
Honolulo – Hawaii/USA and Aracaju – Sergipe/Brasil - 15/09/2008
Prof. Pengcheng Fu – E-Mail: pengchen2008@gmail.com
Prof. Hans-Jürgen Franke – E-Mail: lawahiebiotech.brasil@gmailcom
Reply