Home Southern Africa Mozambique Signs MOU with Brazil for Developing Biofuels Sector

Mozambique Signs MOU with Brazil for Developing Biofuels Sector

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Mozambique Signs MOU with Brazil for Developing Biofuels Sector

(3 Minutes Read)

As part of this broader set of economic reforms, the Government of Mozambique has mandated that ethanol and biodiesel be blended with gasoline and diesel, Brazil’s biofuels market is one of the strongest in the world, driven by abundant agricultural resources and supportive government policies

During the Biodiesel Forum in São Paulo, Brazil and Mozambique signed a Memorandum of Understanding (MOU) for the joint development of biofuels. The MOU was signed by Ubrabio (União dos Produtores de Biodiesel e Bioquerosene do Brasil) and by the office of the Mozambican Economic Stimulus Package (PAE), represented by João Macaringu.

This marks a significant advance in Measure 10 of the PAE. As part of this broader set of economic reforms, the Government of Mozambique has mandated that ethanol and biodiesel be blended with gasoline and diesel, Brazil’s biofuels market is one of the strongest in the world, driven by abundant agricultural resources and supportive government policies.

As a leading global producer of ethanol and biodiesel, Brazil benefits from advanced technology, substantial investment in P&D, and high domestic and international demand. Mozambique has similarities with Brazil that create an ideal partner, including climate, geography, and the specificities of the land.

The strategic alliance aims to boost the development and adoption of biofuel production, promoting the global shift towards sustainable energy, in line with Mozambique’s energy transition aspirations presented last year at the COP 28 Climate Change conference.

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The MOU signals a collaborative effort to improve the biofuels supply chain.The agreement is expected to attract significant capital investment from Brazil into Mozambique, boosting research, development, and production capacity.