The Brazil Ethanol Market is estimated to be valued at US$ 18.18 Bn in 2023 and is expected to exhibit a CAGR of 6.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Brazil ethanol market consists of fuels made from sugarcane and corn. Sugarcane-based ethanol dominates the Brazilian fuel market and widely used as biofuel in vehicles and power generation. Sugarcane ethanol is cheaper to produce and a sustainable fuel option.
Market key trends:
One of the key trends in the Brazil ethanol market is increasing shift towards corn-based ethanol production. Corn-based ethanol production facilitates utilization of available corn supplies and widens raw material options. Companies are investing in setting up dedicated corn ethanol units to leverage the high yields and growing acreage of corn cultivation in the country. Furthermore, favorable governmental policies including mandatory ethanol blending are fueling the demand for corn-based ethanol across the transportation and power sectors. Growing vehicular fleet and renewable fuel targets present lucrative growth opportunities for corn ethanol producers in Brazil during the forecast period.
Segment Analysis
The Brazil ethanol market is segmented into hydrous ethanol and anhydrous ethanol. The hydrous ethanol segment is dominating the market and accounts for over 60% share owing to its wide applications in the transportation sector as a blend with gasoline. Hydrous ethanol is widely used as a fuel in vehicles that can operate on gasoline-ethanol blends of up to 25% ethanol (E25).
Key Takeaways
The Brazil Ethanol Market Size is expected to witness high growth, exhibiting CAGR of 6.3% over the forecast period, due to increasing consumption of fuel-grade ethanol as a transportation fuel and blendstock.
Regional analysis
The southeast region dominates the Brazil ethanol market with over 50% share due to presence of favorable agro-climatic conditions and abundance of sugarcane cultivation. States like Sao Paulo and Minas Gerais are the major producers of sugarcane and ethanol in the country.
Key players
Key players operating in the Brazil ethanol market are Raízen, Biosev, Copersucar, Sã o Martinho, Usina Sierra Alta, GranBio, Usina São Francisco, Usina Batatais, Usina Alto Alegre, BP Bunge Bioenergia, Usina Caeté, Usina Cerradinho, Usina Colombo, Usina Pedra, Usina Santa Adélia, Usina São Luiz, Usina Jalles Machado, Usina Bonfim, Usina CaarapÃ3, Usina Da Pedra. Raizen is the largest producer with over 20% share in the domestic market.
For More Insights, Read: https://www.newsstatix.com/brazil-ethanol-market-size-share-and-growth-forecast-2023-2030/
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