Brazil govt to raise back ethanol blend to 25% as of Jun 1, 2013 - report
Sep 28, 2012 - Brazil's government yesterday decided to raise back as of June 1 next year the percentage of anhydrous ethanol mixed with petrol (gasoline) to 25%, from the current 20%, news agency Agencia Estado quoted sources as saying.
The decision is expected to be soon promulgated in the country's State Gazette.
According to the sources, the fixed date has been defined considering a delay in the start of sugar cane crushing next crop year, to begin on April 1, 2013.
If, however, the 2013/2014 crop year begins earlier and there is sufficient volume of ethanol available in March-April, the percentage lift may be implemented as of May 1, the sources detailed.
According to sector estimates, the ethanol blend boost will result in an additional demand of about 2 billion litres (528.3m gallons) of anhydrous ethanol in 2013/14 which would require the processing of extra 25 million tonnes of sugar cane.
It is worth reminding that amid the uncertainties related to the 2012/2013 sugar cane harvest, anhydrous ethanol content in petrol was axed to 20% from the previous 25% as of October 1 last year.