Brazil’s clever solution to fuel the country

Global Business

Sugar prices are near record lows causing Brazilian companies to reduce their output in favor of a more profitable option: producing fuel.

Brazil has become a pioneer in using ethanol to power light vehicles. CCTV’s Paulo Cabral filed this report from Sao Paulo.

Follow Paulo Cabral on Twitter @paulonumundo

Brazil's clever solution to fuel the country

Sugar prices are near record lows causing Brazilian companies to reduce their output in favor of a more profitable option: producing fuel.

More details:

  • Brazilian companies are responding to the decline in sugar production by converting more of the sugarcane into ethanol rather than into Sugar.
  • The country has become the world’s leader in ethanol production by converting sugarcane into a clean, low-carbon bio-fuel. Almost half of Brazil’s gasoline needs are now met with sugarcane ethanol.
  • Sugar production in 2015 around the world is expected to exceed demand for a fifth straight year.