How high profits interfere in the controversy

The major problem when it comes to the production of bio-ethanol is that some actors, like ethanol-producing companies, or, to a lesser extent, governments, see the question of ethanol under a mere economic perspective.

In this regard, companies are seeking for a maximization of profits, frequently regardless of the indirect emissions suffused by the production of bio-ethanol, as M. Sergio Paranhos declared.  He works for Sucral, a company that provides economic advice to bio-ethanol producing coroporations. Those companies are set in a context of high competition, not only with other Brazilian companies, but with foreign companies, especially from the United States. The investments in bio-energies are not old enough so that the activity of production is profitable for all the companies. This point also explains the reason why the economic viability is a priority compared to any other consideration, like ecological ones.

As far as the Brazilian government is concerned, the goal is to get Brazil back to its leader ranking in terms of production of bio-ethanol. Indeed, as of 2005, the Unites States over-passed Brazil and became the new world leader in this specific production. Moreover, the US administration implemented taxes on the import of foreign ethanol, which Brazil suffered quite much. The situation has just changed in the winter 2011-12, when this border tax was scrapped: Brazil can export to the United States at normal fees again, and which can redistribute the cards. Anyway, the governmental consideration, in Brazil as well as in the US, is that the national competitiveness and the economic viability of green energies come before a real holistic consideration of the drawbacks, namely the indirect issues. The image of bio-ethanol that is sold to the public is that it is all good, which strengthens the legitimacy of the successive ministers of Transportation/ecology.