Brazil contracts close to 1.2bn litres in 75th biodiesel auction
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Brazil's Petroleum, Natural Gas and Biofuels Agency (ANP) announced on Monday that the country's 75th biodiesel auction contracted approximately 1.19 billion litres (317m gallons) in total.
The average price of BRL 5.043 per litre achieved in the tender resulted in a final contract value of around BRL 6 billion (USD 1bn/EUR 915m). In all, 42 producers offered some 1.19 billion litres in the tender.
Of the total volume sold, 98.10% comes from producers with the Social Fuel Seal, awarded under a government incentive to source raw materials from small farms.
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 75th tender covers domestic biofuel supply from September 1 to October 31, 2020, ANP noted.