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Biodiesel: Ubrabio defends the strategy of adding value to the national industry

Posted by Marina
The need for Brazil to implement a strategy that results in greater added value to the national industry, in addition to ensuring a scenario of greater predictability for biodiesel producers. These were some of the issues highlighted by the president of the Brazilian Union of Biodiesel and Bioquerosene (Ubrabio), Juan Diego Ferrés, when participating in the opening of the first edition of Biodiesel Week. Promoted by Ubrabio and Embrapa Agroenergia, the webinar cycle started last Monday (10), the international day for Biodiesel.

Mediated by the superintendent director of Ubrabio, Donizete Tokarski, the opening session was also attended by the president of the Chamber of Deputies, Rodrigo Maia; the director of the National Agency of Petroleum, Natural Gas and Biofuels (ANP), Dirceu Amorelli; federal deputies Jerônimo Goergen (PP / RS), Arnaldo Jardim (Cidadania / SP) and Enrico Misasi (PV / SP); and the head of Embrapa Agroenergia, Alexandre Alonso.

In his participation, the president of Ubrabio defended the implementation of a strategy to add value to the national industry. Juan Diego Ferrés appealed to the president of the Chamber of Deputies to take advantage of the Tax Reform to correct distortions in the taxation of Brazilian exports.

In the specific case of the biodiesel industry, this scenario ends up stimulating the export of soybeans, the main raw material for biofuel, reducing the volume that remains in Brazil to be used in the processing of biodiesel.

“We do not have, in the Brazilian tax structure, with its tangle of disordered taxes, an adequate policy for adding value. This tax structure contaminates the value chains, by benefiting the national raw materials, at the time of their export. Thus, it is not competitive with added value. This means that raw materials are exported every day in a less industrialized way, ”said Juan Diego Ferrés, who participated in the formulation of the program for the use of biodiesel in Brazil.

Speaking to the participants, the president of the Chamber of Deputies highlighted the importance of biodiesel for the sustainable development of Brazil. Rodrigo Maia stated that the tax system has a cumulative effect and said that the Chamber is committed to discussing the issue.

"The Tax Reform aims to better organize the tax system and the productivity chains in Brazil," explained Rodrigo Maia, who proposed holding a working meeting to better discuss the issue.

The president of Ubrabio also highlighted the importance of the government working to create a more predictable scenario for biodiesel producers. Juan Diego Ferrés said this when referring to the large volume of soy destined for export (about 80% of production), to the detriment of the permanence of grains in Brazil to be used as inputs for the biodiesel industry.

In his initial participation in the event, the president of Ubrabio made a point of pointing out the importance of the Brazilian biodiesel industry, which currently produces about 650 thousand m3 of biodiesel per month, which is equivalent to 7.8 million m3 per year. According to Juan Diego Ferrés, the segment takes investments to all regions of the country, generates approximately 500 thousand direct and indirect jobs, and involves about 100 thousand family farmers, who receive technical and credit support.