American senators to observe ethanol production

07/04/2006 - 7h10

Brasília - A group of American senators begin a week-long visit to Brazil today. They will be looking at Brazil's sugarcane-based ethanol production and distribution.

The US senators were invited by minister of Development, Industry and Foreign Trade, Luiz Ferando Furlan, who visited California last year and observed the use of American ethanol, which is usually corn-based. The state of California now uses a 5.6% ethanol additive in the gasoline sold in the state, which means there is a demand for 900 million gallons per year (around 3.5 billion liters). There is a study underway to increase the additive to 10%.

Furlan explained to the Americans that he does not see ethanol competing with gasoline, by as a fuel complement.

Last year Brazil exported a total of US$77.5 million worth of ethanol to the United States. This year the amount has risen to US$25.7 million just in January and February.

Translation: Allen Bennett