In a announce released a few days ago, Syngenta told it is developing a new way to really improve the cost efficiency of sugar cane planting in Brazil. In the release, “Syngenta´s innovation would reduce planting costs per hectare by some 15%, driven by a novel approach to grow sugar cane from smaller cane segments using proprietary treatments. The technology is planned for launch in 2010 under the brand name Plene™ and has a market potential of $300 million per year by 2015.”

This potentially make corn ethanol look even sicker as a long term answer to fuel replacement. But it is possible to see that in a very next future US farmers asking for the 54cent/gal import tariff from Brazil to be raised to repel the threat from much more economic ethanol. Probably that diverting sugar to ethanol is such a bad idea. Most of the time sugar is used for sweetness, not calories. Unlike corn.

It is about time for U.S. and European countries let alternative fuels enter their market. Besides being cheaper, these alternatives fules, mainly ethanol, are cheaper, more efficient and cause less pollution on the atmosphere.

However, with Obama as a president of U.S., the Brazilian goals will become more and more distant because his party is well known as protecionist and probably American farmers will get what they want: Brazilian ethanol away from their market.

Via: Syngenta.