ANNOUNCEMENT 01 Jun 2018

The Argentine Government increased the price of maize- and sugarcane-based ethanol used in the compulsory oil blend of automobile fuels produced in Argentina.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

InfoLeg. Ministerio de Energía y Minería. Subsecretaría de Recursos Hidrocarburíferos. Disposición 113/2018. Available at: http://servicios.infoleg.gob.ar/infolegInternet/anexos/310000-314999/311076/norma.htm

InfoLeg. Ministerio de Energía y Minería. Subsecretaría de Recursos Hidrocarburíferos. Disposición 87/2018. Available at: http://servicios.infoleg.gob.ar/infolegInternet/anexos/310000-314999/310233/norma.htm

Inception date: 01 Jun 2018 | Removal date: 30 Jun 2018
Still in force

Price stabilisation

On 1 June 2018, the Ministry of Energy and Mining of Argentina adopted Disposition 113/2018 increasing the price of maize- and sugarcane-based ethanol used in blending automobile fuels. The new prices have increased from ARS 14.098 (USD 0.56) to ARS 15.162 (USD 0.61) per litre in the case of maize-based ethanol and from ARS 17.737 (USD 0.71) to ARS 18 (USD 0.72) per litre in the case of cane-based ethanol.

Due to a local content requirement imposed via Decree 543/2016 (please, see related state acts), this increase in the prices of bioethanol that are compulsorily included in automobile fuels produced in Argentina, suggests that this intervention is intended as a price support to domestic ethanol producers.

Update
On 2 July 2018, the Ministry of Energy adopted Disposition 2/2018 modifying the price of maize- and sugarcane-based ethanol.

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AFFECTED PRODUCTS