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Introduction
6.1 Evolution of bioethanol fuel in Brazil 6.2. Sugarcane agroindustry in Brazil 6.3 Technological research and development
6.1 Evolution of bioethanol fuel in Brazil 1903 - First National Congress on Industrial Applications of Alcohol 1920 - National Technology Institute 1920s - Several pioneers at the time promote the use of bioethanol to power vehicles.
6.1 Evolution of bioethanol fuel in Brazil 1931 - Brazilian government implements a compulsory blend of at least 5% anhydrous bioethanol in gasoline. Until the early 1970s - The amount of ethanol in gasoline varies.
6.1 Evolution of bioethanol fuel in Brazil Mid-1970s The first petroleum crisis: a proposal is developed to reduce the dependence on imported oil. 1974: After discussions between the private sector and the government, a document with recommendations is submitted to the National Petroleum Council.
6.1 Evolution of bioethanol fuel in Brazil 1975 Specially adapted engines using pure hydrated bioethanol are tested. 11/14/1975 The Federal Government institutes the National Alcohol Program (Proalcool).
6.1 Evolution of bioethanol fuel in Brazil Between 1975 and 1979 Bioethanol production increases significantly. 1979 Petroleum prices reach new heights and the Proalcool program expands itself.
6.1 Evolution of bioethanol fuel in Brazil 1985 The scenario changes: ethanol production becomes unattractive. 1986 The governmental incentives are reduced. 1989 Consumers start facing supply shortages.
6.1 Evolution of bioethanol fuel in Brazil 1989 Brazilian consumers lose their confidence on ethanol and the consumption of the biofuel starts decreasing. This situation is gonna last until the launch of flexible fuel vehicles (2003).
6.1 Evolution of bioethanol fuel in Brazil In the early 1990s The brazilian sugarcane industry is out of shape and lacks competitiveness. In this context, the brazilian government starts the liberalization of the national economy.
6.1 Evolution of bioethanol fuel in Brazil 1997 Two important institutions are created: CNPE (National Energy Policy Council) and ANP (National Petroleum Agency). 2000 Creation of the CIMA (Interministerial Sugar and Alcohol Council)
The sugarcane industry reborned in the 1930s and expanded itself to the Southeast of Brazil from that moment on. Nowadays: sugarcane occupies almost 9% of Brazils cultivated land, and the biggest producing area is the MidSouth-Southeast.
80% of the sugarcane received by the plants come from land owned by the plants owners (or linked to them). Brazilian plants can be classified due to their production: only sugar, sugar + bioethanol (close to 60% of the total amount) and only bioethanol (distilleries close to 35% of the total amount).
So Paulo State: confluence of factors such as climate, logistics and localization, all favorable to sugarcane. Although the growing prices of the land is pushing the sugarcane industry towards other areas.
The expansion of sugar-alcohol production brought the diversification in the composition and origin of the capital invested in the agroindustry. Besides, the current expansion of these productions are also related to gains of productivity and not only to the increase of the cultivated areas.
The increasing productivity generates reduction in costs (learning curve). The sugarcane industry has witnessed the formation of clusters, as well as better conditions in terms of logistics.
More than 100 research studies involving the academic community and private companies.
Tech Improvements Better perspectives Efficiency improvements Entrepreneurial motivation Larger profits
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