"Brazil may soon become the world's first biofuels economy. Indeed, Brazil has made kicking the oil habit a national priority, on par with redistributing digital technologies to its people. Brazil has been manufacturing biodiesel and ethanol fuels for decades, a strategy spurred in part by national security concerns on the part of the former military dictatorship. But the degree to which Brazilians have embraced biofuels today is truly staggering.

"What the rest of the world could do tomorrow, Brazil, the world’s biggest producer of bioethanol, is already doing today. A million Brazilian cars run on fuel made from sugar cane, and most new cars hitting the road there are powered by “flex fuel” engines. Introduced three years ago they use either gasoline or bioethanol, or any mix of the two.

"Through the Working Group on Climate Change, the UK and Brazilian Governments have agreed to launch a number of new initiatives on climate change and clean energy. It demonstrates a commitment to tackling the challenges of climate change as well as progressing on a long-term climate change agreement.  This agreement provides policy makers with an important platform to improve UK-Brazil understanding, exchange lessons and undertake joint action.

“The sharp rise in international oil prices, political instability in producing regions and the environmental impact of fossil fuels have combined to evoke a growing interest in alternative energy sources. In this context, the Brazilian experience with ethanol fuel has been a noteworthy success story over the past 30 years. And the success is now expanding to biodiesel and H-Bio.

"Brazil is the world's leading sugar producer and exporter.  It is also the world's #2 ethanol producer after the U.S., but #1 ethanol exporter. In a first for Brazil, local company Raudi, in partnership with a Sao Paulo state institute, is planning to build a pilot plant capable of producing "green" methanol from excess sugarcane biomass within the next three years.  

"Production of natural gas rose 4.4 per cent in Brazil to 44.8 million cubic metres a day in September 2006.  The government of  Brazil has pledged to raise domestic output to reduce dependence on imports from Bolivia, which recently nationalized oil and gas reserves and raised prices.

"In a bid to decrease its dependence on oil and produce environmentally-friendly energy, Senegal will cooperate with Brazil and India to launch a biofuel production program by 2007. Through public and private partnerships, Brazil will provide scientific and technological know-how, Indian entrepreneurs will supply the capital, and Senegal will provide land and labor.

Archer Daniels Midland Company (ADM) plans to build a biodiesel production facility in Rondonopolis, Mato Grosso, Brazil with an annual capacity of 180,000 metric tons.