21st November 2008
Brazil biofuels strategy a “win, win, win” for the environment, development and trade, says UNCTAD
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Brazil’s biofuels development strategy is considered a model, according to the UNCTAD Acting Deputy Secretary General, Lakshmi Puri. “We analyzed the Brazilian model so as to see in which countries it might be reproduced. The use of biofuels as we imagine it is a win, win, win strategy. The environment wins, the commerce wins, and development wins too,” said Puri.
According to Puri, the biofuels sector represents a new and dynamic opportunity. “What we are doing is try and help developing countries. We help nations to choose the correct model, and all of that needs to go hand in hand with food security,” she said during the International Conference on Biofuels, held in Sao Paulo, Brazil on 19 November.
The conference has brought together officials from over 40 countries to consider the issues of development, food security, climate change, and trade as related to biofuels and biofuels production.
“Agroenergy and biofuels represent a shift in paradigms, a coming together of different people, setting new guidelines for sustainable development and peace promotion,” said the president of the Superior Agribusiness Council at the Federation of Industries of the State of São Paulo and former Brazilian Minister of Agriculture, Roberto Rodrigues.
As a major exporter of biofuels, Brazil is keen to see ethanol more frequently used to power vehicles around the world. The South American country, which produces sugarcane-based ethanol, is the second-largest producer of the product in the world, after the United States.
Despite the enthusiasm, biofuels production has not come without concerns. Many argue that the hike in food prices is connected to increased farming of biofuels crops where traditional food crops were once cultivated.
It is expected that debates around such issues as the food crisis and tariff-related concerns, as well as the rules and policies of the WTO concerning biofuels, will all be tackled during the 5-day event.
“The whole issue involves various aspects. It has to do with institutional models, technology, mandatory mixing of ethanol, and it also involves the logistical and infrastructure issue, as well as tariff-related issues,” said Rodrigues.
But according to conference participants, the complexity of the issue goes beyond just gathering facts. “This is not just a matter of information, it is a political issue,” said Corrado Clini, Director General for Research and Development at the Ministry of Environment of Italy who was a delegate at the meetings.
The conference, which was scheduled for 17-21 November, is not, however, expected to produce any resolutions.
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There is indeed some evidence to suggest that the Brazilian experience with biofuels seems to be successful. The establishment of international trade rules that liberalise trade, rather than promote protectionism could provide efficient developing country exporters with new market and development opportunities. At the same time, when considering the extent to which the Brazilian model can be replicated elsewhere in the developing world, it is critical for policy makers at all levels, to bear in mind that in many poor countries, biofuels, and in a broader understanding, modern forms of bioenergy, must be considered as a response to local energy needs.
Expanding access to modern energy in poor countries will be essential to achieving many of the Millennium Development Goals, in many parts of Sub-Saharan African and South Asia, for example. Applications in many African countries indicates that bioenergy can contribute to rural electrification, powering new forms of productive activities, and reducing in-door air pollution that kills more women and children in Africa that malaria and tuberculosis combined.
Governments and the international community would fail their responsibilities if land, water, capital and human resources are mobilised in these countries, only to meet the energy needs of other parts of the world. Bioenergy must first and foremost contribute to expanding access to energy for the poor and rural communities in developing country producers.
Therefore a careful balance needs to be struck between the international trade opportunities that may exist, and the imperative of advancing the goals of access to modern energy in poor countries.