EXPANSION OF CORN ETHANOL IN BRAZIL: EVOLUTION OF MILLS AND PARTICIPATION OF MATO GROSSO DO SUL

Abstract

Corn ethanol has shifted from a complementary role to representing a significant share of Brazilian biofuel production, driven by the supply of second-crop corn and the opportunity to add value to agricultural output. This article analyzes the context of this expansion between 2016 and 2026, focusing on the state of Mato Grosso do Sul. It is a descriptive and exploratory study with a quantitative approach, based on secondary data from Conab, Unica, UNEM, ANP, and Aprosoja/MS, analyzed using time series, rates of change, and relative shares. The results show that national production rose from approximately 0.5 billion liters in 2017/18 to 10.17 billion in 2025/26—equivalent to just over 27% of the ethanol produced in the country—and that the number of operating plants increased from 18 to 29 between 2023 and 2025/26. Mato Grosso do Sul, which had no corn ethanol plants prior to 2022, rose to second place nationally, with a market share of between 20% and 23%. Its production grew by 118% between the 2023/24 and 2025/26 crop years, compared to 62% nationwide.