Photo by Steve Jurvetson (Flickr) [CC BY 2.0 (http://creativecommons.org/licenses/by/2.0)], via Wikimedia Commons
The Brazilian Agency of Petroleum, Natural Gas and Biofuels, or ANP, said on Monday that 674.3 million litres of biodiesel have been contracted at its 50th biodiesel auction.
100% of the volumes had the Social Fuel Seal, which gives biodiesel producers incentives to source raw materials from small farms.
With an average price of BRL 2.398 (USD 0.755/EUR 0.671) per litre, the tender awarded around BRL 1.62 billion worth of biodiesel contracts. On the first day of sales, about 581.3 million litres were sold, or 76.8% of the total offering. On the second day, a further 92.7 million litres were sold.
In all, 31 producers offered a total volume of 757.18 million litres.
Brazil's biodiesel auctions are designed to meet the legal requirement for at least 7% blend of biodiesel in diesel sold at the pump. The 50th Biodiesel Auction will ensure the biofuel supply in the domestic market from September 1 to October 31, 2016.