ANNOUNCEMENT 15 May 2017
The Government of Brazil announced that it will adopt measures to protect domestic sugarcane-based ethanol producers from imported biofuel. The stated goal of this intervention is to establish equal stock-holding requirements for importers as for domestic producers.
NUMBER OF INTERVENTIONS
official Gazette of the Union. Diário Oficial da União.
Conselho Nacional de Política Energética. Resolução Nº 11, de 11 de abril de 2017. http://pesquisa.in.gov.br/imprensa/jsp/visualiza/index.jsp?jornal=1&pagina=5&data=15/05/2017
On May 15, 2017, the Official Gazette of Brazil published the Resolution 11 issued by the National Council for Energy Policy, strengthening import requirements for sugarcane-based ethanol to protect domestic producers.
The new import regime requires importers to maintain minimum stock levels as well as the obligation to prove the ability to meet certain peak market demand. Before the change, only domestic producers were subject to these requirements. The stated goal of the regulation is to equalise the requirements regardless of origin.