Brazil offers ethanol production tech to resolve India-WTO dispute

In an attempt to settle a sugar-related dispute at the World Trade Organization (WTO), Brazil has proposed sharing its ethanol production technology with India.

Brazil has extended an offer to India, aiming to share its ethanol production technology, as a step towards resolving a sugar-related dispute between the two nations within the World Trade Organization (WTO).

In its proposal, the South American nation has emphasized that sharing ethanol production technology would enable India to efficiently convert surplus sugar into ethanol. This offer has the potential to aid India in managing its surplus sugar production and alleviating competition for Brazil in the global sugar market.

Brazil holds the position of the world’s largest producer of sugarcane and ethanol, with a prominent leadership role in ethanol production technology. Additionally, it stands as the largest global exporter of sugar. Meanwhile, India ranks as the world’s second-largest sugar producer.

The proposition holds significant benefits for India as it aligns with its objectives to incrementally raise the ethanol blending ratio in automotive fuels, thereby reducing reliance on imported crude oil.

“Brazil has a flex technology. They do ethanol blending. That technology is good for India also. Brazil has argued that India can use its surplus sugar for ethanol production and through that India can deal with its fuel issue also and that surplus sugar would not enter into the global markets and not impact world prices,” the official said.