Overview
The Company
Global Ag Biodiesel is a pioneer in Western Bahia, bringing to Luis
Eduardo Magalhães the first Biodiesel and Crush plant within the
region. Having an innovative industrial process, with an in an
integrated logistical marketing model, Global Ag Biodiesel will be a
strong an industry leader in Western Bahia.
Strategy
Global Ag Biodiesel intends to implement the following strategies,
focusing its strong points and the exploitation of the potential of
the biodiesel market.
Develop
logistic efficiency
Global Ag Biodiesel will use an efficient integrated logistical
model with trucking companies to assure competitive pricing. The
company will look to reduce outsourcing of freight when moving
products and by-products.
Moreover, the location of Global Ag Biodiesel allows prime access
channels to agricultural inputs for the production of biodiesel.
Exporting Biodiesel
The domestic market presently offers a lucrative position for
marketing biodiesel. However, if market conditions should change
such as a depreciation of the Real, exporting will be a more
attractive and viable option. In addition, ease of exportation is
increased because of the close proximity of the ports in Salvador.
Currently, the European Union is the primary consuming and producing
market of Biodiesel. According to Oil World, the European Union will
have an estimated capacity to produce approximately 10 million m³ of
biodiesel by 2010, compared to a projected demand of 13.3 million m³
consequently, leaving a need to import biodiesel from other
countries. More overly, the species in which the oil was extracted,
standard of production, and quality biodiesel produced by Global Ag
biodiesel will adhere to the standards and regulations imposed by
the European Union allowing for export when the opportunity arises.
Environmental Consideration
In addition to producing renewable fuel that contribute to the
reduction of emitted pollutants, Global Ag Biodiesel will also be
taking steps to promote the preservation of the environment and its
natural resources. Both building companies have ISO 14001
Environmental Certification. By producing a renewable resource
Global Ag Biodiesel will have access to the carbon credits market of
the Kyoto Protocol in which Brazil is also a signatory.
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