I’m Brazilian and don’t understand it. We were asked to lower our tariffs on ethanol so we could buy more of it from Iowa, but Iowa’s ethanol is corn-based while ours is from sugarcane, which is much superior (cheaper to produce, 7 times more energy efficient and requires half the land for the same amount of fuel). Why would we buy it from the United States, that has a much less efficient (and consequently pricier per litre) source? We are by far the world’s biggest producers of sugarcane, I’m honestly surprised we even need to import ethanol. Colombia and Mexico also produce a lot of it and are much closer.
Worst is I have zero doubt our president will agree. He is a Trump boot licker. Fuck them both.
外围体育投注Why would we buy it from the United States, that has a much less efficient (and consequently pricier per litre) source?
外围体育投注As a "favor". Because our government loves doing "favors" for the US, like when we lowered taxes on US wheat to help destroy wheat production in RS.
外围体育投注I have no idea how Brazil got involved, but the basic problem is that the US produces more corn than anyone could every need, and corn producers have a ridiculous amount of political influence, which they use to create new markets for their product. It's incredibly shady, but it has been done openly for decades, because bribery is legal in the US.
Corn has a weird political power in the US. The state of Iowa is a backward, unremarkable place, aside from the fact that they have a lot of corn, and always host the first Presidential primary election. This means that presidential candidates always pander to Iowa above all other states in hopes of securing an early lead in the primary voting. So both political parties support massive corn subsidies.
We don't even have a use for all this corn. So we also subsidize ethanol production so we can add it to our gasoline. Ethanol does nothing to improve the gasoline, other than to make it cheaper at the pump. Which is insane, because corn ethanol actually consumes more fossil fuel energy to produce than the energy content of the ethanol produced. But we taxpayers subsidize it so much that it costs very little for fuel producers to add it to gasoline and then sell it back to us.
外围体育投注Of course, with COVID, people aren't driving as much, so we need someone else to buy it so craven politicians can keep giving taxpayer dollars to Iowa to produce more of it.
So anyway, don't complain -- just enjoy the cheap ethanol that the American taxpayers already paid for.
The US subsidizes US farmers to make US ethanol competitive. On equal ground Brazil would never buy US ethanol but because of the subsidizes, it will because the price is competitive.
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