Brazilian meat processor JBS plans to invest R$180M (US$47.5M) in a new biodiesel facility which will use pork and poultry fat as part of its feedstock.

The plant would be operated by JBS Biodiesel and located in the Brazilian city Mafra, in the state of Santa Catarina.

The world’s biggest meat processor said on 31 July that it would be using raw material, including pork and poultry fat, from the production chain of its subsidiary Seara Alimentos’, which it acquired in 2013.

“The plant will also work closely with the soyabean complex, supplementing its raw material base.”

“The company’s investment in this new operation reflects the positive outlook for Brazilian industry,” said director of JBS Biodiesel, Alexandre Pereira.

“Based on the RenovaBio programme, when B15 takes effect in 2023, diesel will have to contain 15% biodiesel. With this new plant, JBS Biodiesel will more than double its capacity and is set to produce over 600M litres/year of biodiesel.”

JBS said the factory would cover an area of 76,000m2 and produce 900 tonnes/day of fuel. Once the plant was constructed in 2021, it would create 100 direct jobs and 300 indirect jobs.

“Mafra is strategically located for biofuel production. In addition to efficient road and rail loading and unloading logistics, it is 120km from Araucária, where the President Getulio Vargas Refinery is located, one of Brazil’s biggest diesel mixing and distribution units,” JBS said.

JBS Biodiesel currently operates two other plants in the states of São Paulo and Mato Grosso.

“With this third unit, the company will become one of the country’s top 10 top biodiesel producers,” JBS said. “In 2018 alone, the company sold 260M litres of biofuel, approximately 25% up on its 2017 volume of 210M litres.”

On 6 August, Brazil’s National Agency for Petroleum, Natural Gas and Biofuels (ANP) announced that it had approved the sale and use of B15 biodiesel and was raising the minimum blend of the fuel from 10% to 11%, from September.