Brazil sets new production record for corn ethanol

Brazil’s corn ethanol production is set to hit 6 billion liters this season, marking a nearly 40% increase from the last cycle and setting a historical record for the nation.

In comparison, the 2019 season closed with a production of just under 800 million liters, indicating the current output is nearly eight times greater.

The National Supply Company reports consistent annual growth in this sector.

Corn ethanol currently constitutes 18% of the country’s total ethanol production, while the majority is derived from sugarcane.

Mato Grosso leads in corn ethanol production, accounting for 72% of the total. Mato Grosso do Sul follows at 15%, then Goiás (11%), Paraná (0.5%), and Alagoas (a mere 30,000 liters).

Although Alagoas’ contribution is minor, it’s the fastest-growing in Brazil, with its estimated volume having increased two thousandfold from one season to the next.

A significant factor behind Brazil’s rising ethanol production is the expansion of soybean farms, the primary driver of Brazil’s agribusiness.

Often, soybean and corn are grown concurrently, with corn typically cultivated after the soybean harvest.

This dual-crop strategy maximizes land use, producing two different harvests in a single season.

Mato Grosso, leading in corn ethanol output, also tops in soybean production, showcasing its global market prowess.

For instance, Mato Grosso’s 2023 harvest surpasses Argentina’s, making it third in global rankings.

Speaking of soybean, Mato Grosso expects a yield of 45 million tons, while Argentina’s output was halved to 20 million tons due to severe drought.