Brazil's ethanol exports are expect to go down by 21.95 during the 2007-2008 fiscal year which ends in March, according to the Brazilian Association of Sugarcane Industries (Unica). From April 2006 to March 2007, Brazil exported 4,1 billion liters of ethanol. Current figures are down to about 3,2 million. Global production figures, according to our source, are increasing: 21,6 billion liters.

Unica states that the main reason for this decrease is the market's volatility. Unica also expressed its concern about the U.S.'s and the EU's plans to tax ethanol imports. According to them, Brazilian ethanol is cleaner and cheaper than corn or beetroot's ethanol.

Despite these negative figures, the Brazilian ethanol industry is at its peak for its internal demand. 4.4 out of 20 million vehicles in Brazil are flex-fuel. Brazil's sugarcane production is mostly targeted for ethanol production - about 55.28 percent of it.

[Source: Econoticias]

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