Now accounting for 19% of national biofuel production.
The corn ethanol industry in Brazil has experienced remarkable growth, jumping from 2% to 19% of the country’s biofuel supply in just five years. This rapid expansion is poised to continue, with 22 new projects for plant construction or facility expansion currently underway, according to a report by Itaú BBA.
Key Investment Figures and Capacity Increases
- Planned Investments: R$ 20 billion.
- Production Capacity Growth: Additional 6 billion liters per year.
- Corn Demand Increase: An extra 14 million tons of corn annually.
Impact on Biofuel and Agriculture Markets
- For ethanol: The projects represent a 20% increase in fuel supply compared to the 2024/25 harvest.
- For corn: The new demand marks an 80% rise compared to the current volume processed for biofuel production.
This growth reflects the increasing importance of corn as a raw material in Brazil’s bioenergy sector, complementing the dominant sugarcane ethanol industry and diversifying the country’s renewable energy portfolio.