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sábado, 3 de março de 2012

German group seeks to increase exports of sugar and ethanol to Europe


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The German group Südzucker, a leader in the production of sugar in Europe, hosted an assembly of business owners and sugar/ethanol producers in São Paulo. The idea was to present its Brazilian subsidiaries Hosa Trading and Crop Energies, and open up possibilities for exporting sugar and ethanol to the European market. To achieve this goal, they called upon two of their main global executives, Peter Loomans commerce director of business outside the EU for the Südzucker Group, and Boris Hinz, responsible for bioethanol sales for Crop Energies.Active in Brazil since 2007, Hosa Trading is a company which trades in commodities on the international market, but focuses on sugar and ethanol produced in Brazil. At that time, the European Union was the worldwide leader in sugar production, and lost a lawsuit filed by Brazil, Australia and Thailand at the WTO (World Trade Organization) in which the Europeans were found guilty of subsidizing their production. Reduced production quotas were established and the European Union practically vanished from the international markets, and went from being an exporter to becoming an importer. With the change in European sugar policies, EU production quotas were reduced from nearly 20 million tons in 2005 to only 13 million tons in 2008, and subsidized sugar exports were limited to 1.375 million tons.
Aimed at balancing the domestic deficit, the EU began importing 4.5 million tons obtained through preferential agreements with the ACP (African Caribbean Pacific), the EBA (Everything But Arms) and the MFN (Most Favored Nations.) Furthermore, an additional amount of raw sugar also began to be imported at international market prices. This was processed and re-exported to European countries such as Norway and Switzerland. Obviously, the change in policies concerning the European sugar market ended up creating opportunities for the most efficient countries in the world, Brazil included.
Fonte: ProCana Brasil

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