25 November 2008

Enhanced R&D in biofuel production to attract more investors to Latin America

Latin America is all set to make a splash in the global biofuels market, thanks to its inherent advantages of land availability, technological developments, agricultural knowledge, and low labor costs.

Biofuel feedstock production already has a move on in Brazil and Argentina, which produce significant amounts of ethanol and soy, respectively.

New analysis from Frost & Sullivan (, Latin America Biofuel Technology Providers, finds that the Argentinean market had in 2007 an installed capacity of around 600.000 tons of feedstock and estimates this to reach 1.2 million in 2008.

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the Latin American biofuel technology providers, then send an e-mail to Jose Maria Jantus, Corporate Communications, at, with your full name, company name, title, telephone number, company e-mail address, company website, city, state and country.

Upon receipt of the above information, an overview will be sent to you by e-mail.Its scientific sophistication in feedstock production makes it an attractive destination to potential investors, while existing investors will be gladdened by the greater access to funding due to the high growth expectations from the global market.

"If Latin America shows a certain level of economic and political stability, larger numbers of investors will come in search of feedstock," explains Julio Campos, Industry Analyst at Frost & Sullivan.

"Investors will bring in their wake, important improvements in R&D to further develop feedstock."

Although R&D has risen in relevance in the biofuels industry, Latin America still lags on that score.

Scientists in the region will have to devise ways to produce new feedstock, lower production costs, and enhance existing production lines.

Latin America needs more economic muscle to perform R&D all on its own and hence, will be looking to emphasize its strategic advantages to entice foreign investors.

So far, R&D in Latin America was concentrated on the improvement of existing chains and oil-to-biofuel systems and technology.

However, Latin America has been working hard on refining its existing harvesting and transportation techniques and technologies to increase its feedstock yield and biofuel production.

Latin America is fast becoming one of the world's main biofuel feedstock producers and hence, the region should upgrade its R&D to keep pace with the feedstock production.

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