Amaggi, Inpasa partner to build new corn ethanol plants in Brazil
Ethanol producer Inpasa and Brazilian grain processor and exporter Amaggi have agreed to form a joint venture to build at least three corn-based ethanol plants in Mato Grosso, Brazil's top grain producing state.
Growth of the corn ethanol sector has become key to meeting Brazil's rising demand for the renewable fuel. Inpasa is the country's largest corn ethanol producer, and privately-owned Amaggi one of its largest agribusiness conglomerates.
Each of the plants should have the initial capacity to process about 2 million metric tons of corn per year, the companies said in a statement.
The city of Rondonopolis is set to receive the first investments, but the companies are also studying investments in Campo Novo do Parecis and Querencia, they said, without revealing financial details.
The joint venture's formation is subject to approval by Brazilian antitrust authorities, and the formalization of the new entity will occur once these regulatory processes are completed, the statement added.
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