Production and use of fuel ethanol in Brazil - BAFF

The system has been widely used throughout the State of São Paulo since it was
created (1999), and is updated every five years according to the trade’s technological
evolution at both the farming and industrial stages.
Today, the apportionment of the income among suppliers and processors is as
follows:
1. for sugar: 59.5 percent for the supplier, and 41.5 percent for the
processor;
2. for ethanol: 62.1 percent for the supplier, and 37.9 percent for the
processor.
In other words, unlike commonly perceived, farming costs are higher than industrial
processing costs, hence the supplier’s receipt of most of the income.
A. Fuel ethanol: Activities in Brazil and the world context
37