February 13 (Renewables Now) - Brazil's Petroleum, Natural Gas and Biofuels Agency (ANP) announced on Wednesday that some 1.12 billion litres (296.66m gallons) have been contracted in the 71th biodiesel auction.
The average price of BRL 2.977 per litre achieved in the tender resulted in a total contract value of a little over BRL 3.37 billion (USD 774m/EUR 712m). In all, 42 producers offered some 1.27 billion litres in the tender.
A total of 1.05 billion litres were sold in the first two days, all with the Social Fuel Seal, awarded under a government incentive to source raw materials from small farms. Around 70.25 million were sold in the final day.
Brazil's biodiesel auctions are organised to ensure the steady mandatory increase of biodiesel in diesel sold at the pump, established in the 13,263 law and ANP Resolution 16. The 71th tender covers domestic biofuel supply from March 1 to April 30, 2020, ANP noted.
(BRL 1 = USD 0.230/EUR 0.211)