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Economy / Brazil

Lula Defends Biofuels

June 2008 | Ratings Update

In an emotional address to the UN Food and Agricultural Organisation (FAO) in June, Brazilian President Luiz InĂ¡cio Lula da Silva defended his government's promotion of ethanol production, despite the soaring price of food across the globe. The leader rejected suggestions that increasing biofuels production (Brazil is one of the leaders in this industry, behind only the US) has provoked a spike in global food prices, stating that many other factors were also in play - most notably, greater demand from developing countries, adverse weather conditions and speculation.

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