Land Where Sugar-Ethanol Is King Pushes Into Corn Biofuel

  • Brazil’s corn-ethanol output seen topping 1 billion liters
  • More than a dozen plant projects signal continued expansion

Tractors harvest corn in this aerial photograph taken over a farm in Rosario, Bahia state, Brazil, on May 9, 2018. 

Photographer: Dado Galdieri/Bloomberg
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The processing plants peppering the agricultural heartland of Brazil attest to the country’s position as the world’s biggest sugar-cane producer and the undisputed king of ethanol made from the crop. But debt has crippled the industry, paving the way for another biofuel to flourish.

Brazil’s production of corn-based ethanol is set to exceed the 1-billion liter mark for the first time ever this season, according to INTL FCstone. While that’s still just a small fraction of the South American nation’s 31-billion liter biofuel market, output is on track to expand quickly in the next few years amid an investment spree with more than a dozen new plants being planned.