Overview

• Motta announced the push during the opening of Datagro's International Sugar and Ethanol Conference in São Paulo on October 20.
• Brazil currently mandates a 30% ethanol blend in gasoline, in force since August 1 after a CNPE decision in June, with biodiesel set at 15%.
• The Ministry of Mines and Energy projects that recent blend measures could cut gasoline prices by up to R$0.11 per liter because ethanol costs less after taxes.
• Authorities argue a higher ethanol share would reduce Brazil's exposure to global oil volatility linked to Middle East tensions and risks to flows through the Strait of Hormuz.
• Moving to 35% remains a proposal that would require further government or CNPE action under the Fuel of the Future framework to confirm technical viability.