Corn ethanol industry reinforces commitment to DDG exports

Dry Distillers Grains (DDG), corn bran used as animal feed, emerged as the great bet of the Brazilian corn ethanol industry to win foreign markets. With biofuel production on the rise, the sector aims to redirect the by-product to other countries. For this purpose, a brand was created to promote DDG, along with the strategic support of the Brazilian Agency for the Promotion of Exports and Investments (Apex-Brasil), through a partnership valid until 2025.

These objectives were presented by the International Relations manager of the National Union of Corn Ethanol (Unem), Andrea Verissimo, during the Unem Datagro International Conference on Corn Ethanol, held yesterday (21) in Cuiabá (MT). DDG exports have increased rapidly, nearly doubling revenue from US$91 million in 2022, with 279 thousand tonnes, to US$181 million in 2023, with 609 thousand tonnes. Unem reports that revenue from DDG shipments has already reached US$32 million in the first two months of 2024.

The following chart uses DataLiner data to explore Brazilian exports of corn and corn meal (grouped under Mercosur harmonized system code 1005) between January 2022 and January 2024.

Corn exports from Brazil | Jan 2022 – Jan 2024 | WTMT

Source: DataLiner (click here to request a demo)

Vietnam accounted for 43% of Brazil’s DDG exports in 2023, being identified as one of the main potential markets for export by Apex-Brasil and Unem, along with other Asian countries such as China, Indonesia, and Thailand, as well as Spain, the United Kingdom, Turkey, and New Zealand. “We are directing our efforts to countries with large herds, working together with Apex to identify priority markets,” explained the International Relations manager of Unem.

During the event in Cuiabá, the association also launched the product brand, aiming for its repositioning. The brand is characterized by green and gold colors, with a name for the project – Brazilian Distillers Grains – and the slogan “Future of Animal Nutrition.”

Finding destinations for DDG is crucial, as corn ethanol production increases the availability of this by-product, which can also be used as animal feed.

To promote DDG, the strategy involves reinforcing the pillars of energy and food security, as highlighted by the International Relations manager of Unem. “It’s a circular economy, with the simultaneous production of a renewable fuel, corn ethanol,” said Verissimo.

Source: Broadcast Agro

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