Jun 10, 2026
Brazil to Open First Wheat Ethanol Plant in Rio Grande do Sul
Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.
Rio Grande do Sul, responsible for much of Brazil's wheat production, is expected to gain a new market for winter small grains with the construction of Brazil's first large scale wheat ethanol production facility. The new facility in the city of Passo Fundo is expected to utilize 525,000 tons of small gains annually and reduce the state's dependence on imported fuels.
Currently, about 99% of the ethanol consumed in the state comes from other regions of the country. The expectation is that the new facility will be able to supply approximately 23% of the demand for ethanol in the state. In addition to fuel, the new facility will generate products intended for animal feed such as DDGS, wet bran, and vital gluten ingredients widely used in livestock production systems.
The company, Be8, is investing R$ 1.7 billion in the facility which is expected to produce 220 million liters of ethanol annually. This is the first large-scale plant in Brazil to use wheat and other winter grains and is expected to open in March 2027.