Rio Grande do Sul signs agreement to support BSBios’ proposed new ethanol facility

In Brazil, Governor Ranolfo Vieira Júnior of Rio Grande do Sul signed a protocol of intentions between the state government and the company BSBios to enable the implementation of an ethanol production plant in Passo Background. The document establishes actions to make possible the investment of R$ 316 million projected by the company for the first phase of implantation of the unit producing ethanol and bran from the processing of cereals such as corn, wheat, triticale, rice, and sorghum.

The protocol provides for tax treatments in relation to ICMS for acquisitions from suppliers of industrial machinery and equipment located in Rio Grande do Sul and imports of industrial machinery and equipment from abroad.

The initiative is within the context of the State Policy to Stimulate the Production of Ethanol, established in a law enacted in the State last year, from which the State Program for the Development of the Ethanol Production Chain (Pro-Ethanol) was created. The program aims to promote the production chain and expand biofuel production, especially taking advantage of winter crops as inputs. Today, Rio Grande do Sul produces less than 1% of its demand. The new factory, according to the BSBios projection, should supply 23% of this need from 2027.