The Argentine government has established new criteria to set the value of ethanol based on sugarcane and corn mixed with gasoline for domestic consumption, the country’s official daily reported on Tuesday (25).
The measure aims to adjust prices in line with the strong rise in inflation in the country, which could exceed 100% this year.
The Ministry of Economy’s Energy Secretariat said in the resolution that prices “will be updated accordingly and proportionally to the variation in the price of gasoline at the pump”.
The resolution proposed the possibility of alternative pricing mechanisms in cases of substantial discrepancies with the costs of producing the biofuel.
According to data from the secretariat, the value of sugarcane ethanol is 88.24 pesos per liter, while the price of corn ethanol is being negotiated at 107,411 pesos per liter.
Argentina’s biofuel exports are on track to hit a record this year, said a recent report by consultancy Investigaciones Económicas Setoriales (IES).
“In 2022, the sector’s activity will show an increase in production and sales of both biodiesel and ethanol,” he said.
Source: CNN Brasil
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