Brazil: Sugar Interests Fire Back at Growth Energy Over Ethanol Subsidies
Biofuels Digest highlights the recent mudslinging between UNICA and Growth Energy over ethanol subsidies. Most recently, UNICA fired back attempting to dispel several untruths about ethanol subsidies in Brazil.
In it, the Digest explains that Brazil’s sugarcane ethanol industry has operated without government subsidies and without price, supply, or demand controls for well over a decade, most of the distribution network for ethanol was built by Petrobras, and currently, the Brazilian government does not exercise control of ethanol prices or crop inventories.
Read the Digest’s full analysis of the ethanol subsidy debate.
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Our position is very clear: it makes no sense for this country to become dependent on foreign ethanol when we’re already dependent on foreign energy. Becoming dependent on foreign ethanol creates no U.S. jobs, and does not strengthen our national or economic security. Allowing heavily subsidized Brazilian sugarcane ethanol into the nation (and yes, Brazil’s sugarcane ethanol is the beneficiary of billions of dollars of subsidies, preferential tax treatment and blending mandates that dwarf what U.S. policy allows) would not replace a single drop of foreign oil in the U.S. transportation fuel market. It would only displace American workers and American industry.