Caribbean, Latin leaders discuss ethanol strategy to revive sugar production

Caribbean and Latin American government officials, meeting in Miami, said that ethanol would provide a means of reviving the Caribbean sugar industry which had been crushed by competition from Brazil. El Salvador delegate told a regional conference that his country had 741,000 acres formerly used for sugar cane that was not currently under production.

An official from Honduras also pointed to the potential from biodiesel, noting that his country had planted 89,000 acres of palm trees and would expand that to 100,000 hectares in 2008. Caribbean nations are exempted from the 54-cent tariff on Brazilian ethanol.

Recently, the Des Moines Register surveyed Caribbean biofuel prospects, including the geopolitical advantages of weaning Caribbean nations off dependence on Venezuelan oil. The report surveys efforts to stimulate sweet sorghum and jatropha production in the Dominican Republic, as well as efforts to build an additional ethanol plant in the region. Most Caribbean plants process ethanol (i.e. extract water from Brazilian ethanol) but do not manufacture it. US import rules – which place a 54-cent tariff on Brazilian ethanol – allow for up to 7% of US consumption to be imported tax-free from the Caribbean as long as it is processed in through a free-trade partner of the US such as Jamaica.

In October, a new Inter-American Development Bank (IDB) study examined biofuel opportunities in Barbados, Jamaica and Guyana. The report discussed the 6 million gallon ethanol target for Barbados, to cover domestic needs, which could be produced from sugar cane.

Free Subscription to the Daily Biofuels Digest e-newsletter

Related Stories

Southridge to build 5 Mgy sugarcane ethanol plant in El Salvador; firm will also re-export Brazilian ethanol to US to bypass tariff

In El Salvador, Southridge Enterprises will construct a 5 Mgy ethanol plant in El Salvador. The company said that it will import ethanol from Brazil, dehydrate it, and reexport the fuel to the United ...

Southridge to commence construction on 20 Mgy ethanol plant in El Salvador

In El Salvador, Southridge Enterprises will commence construction this month on its 20 Mgy Salvadorean ethanol plant. The company will construct a 15 Mgy ethanol drying facility for export markets and...

India’s Punjab state to revive six sugar mills for ethanol production; will provide power to the grid

In India, the Punjab state government will restart six cooperative sugar mills and will produce ethanol. The government said that operations at nine other sugar mills in the state would not be affecte...

Caribbean sugar, ethanol industries analyzed

Coha has published an excellent analysis of the Caribbean sugar market, including comparisons between the 7-cent per pound production cost in Brazil, compared to  178 cents per pound in Guyana and as...

Studies from the Inter-American Development Bank (IDB) highlight biofuel opportunities in Latin America and the Caribbean

A new Inter-American Development Bank (IDB) study examines biofuel opportunities in Barbados, Jamaica and Guyana. The report discussed the 6 million gallon ethanol target for Barbados, to cover domest...

New report on Caribbean biofuels focuses on sweet sorghum, jatropha prospects

The Des Moines Register surveyed Caribbean biofuel prospects, including the geopolitical advantages of weaning Caribbean nations off dependence on Venezuelan oil. The report surveys efforts to stimula...