Released on = July 21, 2007, 1:48 am

Press Release Author = Shushmul Maheshwari

Industry = Energy

Press Release Summary = Increasing use of maize and sugar to produce biofuels is an
issue of concern as it may cause numerous lives across the world in the near future,
warns Jean Ziegler, the special rapporteur of the UN.

Press Release Body = Starvation, resulting from the diversion of maize and sugar for
the production of biofuels, could cost numerous lives across the world, warned the
food envoy of United Nations on June 14, 2007.

Special rapporteur of the UN on the ‘right-to-food’, Jean Ziegler,
accused the EU (European Union), US, and Japan of “complete
two-facedness” for encouraging biofuels to reduce their own reliance on the
imported oil, as reported by REUTERS on June 15, 2007.

Worries concerning the change in climate have spurred alternative fuels’
demand in wealthy nations, however those who believe that biofuel’s rise will
diminish the land required for food have strictly condemn it.

Sugarcane plantations in Eastern and Northern Brazil are increasingly being used to
produce biofuels, thereby reducing the land for farmers’ subsistence. Brazil
is the leading producer of ethanol (cane-based), and most of the fuel goes into its
domestic market for meeting the rapidly expanding demand for flex-fuel motorists,
said Ziegler.

In some Mexican regions, maize’s price grew by almost 16% last year, due to
the rising demand for use in the production of biofuels, as per the independent
envoy of the UN.

Worldwide, about 854 Million people suffer from starvation, which is perhaps the
most prominent cause why they severely attempt to emigrate to US and Europe.
Increasing use of basic food-crops will cause many more to starve for food, as per
the official.

According to the RNCOS report on “Brazil Biofuel Market Outlook
(2007-2010)”, “Ethanol production in Brazil would grow at a CAGR of
almost 8.48% during the period spanning 2007-2010. Conversely, monoculture (i.e.
cultivation of sugar cane only) could lead to other food-crops’ scarcity in
the country. And if farmers utilize all efforts & resources for sugarcane’s
growth, then it could cause the production of other food-crops to reduce.”

The report looks in to the details of the biofuels market in Brazil. Key issues and
facts analyzed in this report include: energy consumption pattern in Brazilian
energy market, opportunities and challenges before the biofuel industry in Brazil,
and so on.

About RNCOS E-Services Pvt Ltd.:

RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of
industry experts who analyze data collected from credible sources. They provide
industry insights and analysis that helps corporations to take timely and accurate
business decision in today\'s globally competitive environment.

For more information visit: www.rncos.com/Report/IM524.htm
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