Biodiesel sales increased 383% thanks to the increase in the biofuel mix established by the Government

Asuncion, IP Agency.- Biodiesel sales experienced an unprecedented increase of 383% in volume, reaching 51,145,298 liters, the Ministry of Industry and Commerce reported when providing a comparative report between the first half of 2024 and last year’s figures.

The report argues that this growth is attributed to the increase in the biofuel blend to 5%, promoted by the Government, as a growing commitment to the local industry and its value chain, as well as to sustainability.

In October last year, the Ministry of Industry and Trade specified the increase in the mandatory percentage of biofuel blend suitable for use in diesel engines for type III diesel, taking it from 2 to 5%.

This decision was welcomed by representatives of the Paraguayan Chamber of Biofuels and Renewable Energies (Biocap), who expressed the sector’s enthusiasm regarding the growth prospects, thanks to the gradual increase in the biofuel mix for diesel engines.

“This advance would benefit not only our sector, but also the entire production chain, starting from the field, since our raw material comes from oilseeds such as soybeans,” said Massimiliano Corsi, head of Biocap, at the beginning of the year.

In Paraguay, biofuel is obtained from corn oil and soybean oil, which, when processed in the country, has a higher added value than that obtained through raw export.

“Increasing the percentage of blending brings important advantages ranging from the economic to the environmental, generating an important value chain at a local level,” according to the Minister of Industry and Commerce, Javier Giménez.

“In addition, it avoids idle capacity in the industry, allows for the permanence of foreign currency, generates an important value chain in agriculture, benefiting small and medium producers, and freight services,” he adds.

The growth of the sector also had an impact on export statistics, as between January and June of this year sales of 3.8 million dollars were recorded under the maquila regime, unlike previous years when no values ​​were recorded under this concept.