The growing global demand for alternative sources of protein for animal nutrition has driven a new wave of investments in the corn ethanol industry in Brazil, with direct impacts on the production of DDGS, distillers’ dried grains with solubles. In this scenario, agribusiness companies have advanced to expand their production capacity, anchored in industrial scale, innovation and technical rigor.
With annual production estimated at 3.3 million tons, Inpasa has invested in rigorous quality control precisely to meet this demand, especially external demand.
In terms of investments, R$4 million was allocated to the implementation of a laboratory in Sidrolândia (MS), focusing on infrastructure, hiring specialists and acquiring equipment aimed at quality control and DDGS certification. Furthermore, another R$5 million will be invested throughout the year in brand positioning actions.
The Sidrolândia Testing Laboratory was certified by ISO IEC 17025, under accreditation number CRL 2005, attesting to the technical capacity of the team, the reliability of the processes and the excellence of the results obtained, in line with international standards of safety and operational efficiency.
“Certification expands industrial decision-making capacity and generates direct gains in cost, competitiveness and agility, with analyzes carried out on average between 20 and 30 days faster in relation to the market standard”, informed Pedro Zabotto, the company’s corporate DDGS manager.
From its operation at the Boa Vista Unit, in Quirinópolis (GO), the São Martinho plant is also investing and expanding the production of DDGS to meet global demand for the product.
According to Helder Gosling, commercial and logistics director at São Martinho, the advancement of DDG in Brazil is directly linked to the predictability and nutritional density offered by the product. “The corn co-product delivers protein and energy quality and is available throughout the year, without depending on the seasonality of the harvests, in addition to having logistical efficiency that guarantees agility in delivery”, he states.
All production of these inputs is concentrated at the Boa Vista Unit, the company’s only plant dedicated to corn processing. The structure, self-sufficient in biomass and energy, currently processes around 500 thousand tons of corn per year, resulting in 150 thousand tons of DDGs and 10 thousand tons of oil, in addition to having international certifications such as ISCC, Halal and Kosher.
To sustain the growth in demand, São Martinho is also making progress in investments in storage and logistics. The company announced the construction of a unit in Montividiu (GO), with a static capacity of 240 thousand tons, which will be responsible for stages such as receiving, drying and storing corn before sending it to the industrial plant.
The project is part of a broader expansion plan in the state, with an investment of R$1.1 billion to expand the capacity of the Boa Vista Unit. The second phase, scheduled to come into operation from 2027, will add processing capacity of 635 thousand tons of corn per year.
With this, additional production should reach 276 million liters of ethanol, 170 thousand tons of DDGs and 13 thousand tons of corn oil.
Considering current operations and expansion, São Martinho should reach a total processing capacity of around 1.135 million tons of corn per year, with estimated production of 485 million liters of ethanol, 310 thousand tons of DDGs and 21 thousand tons of corn oil.
Furthermore, the company will have a static storage capacity of up to 480 thousand tons of corn, reinforcing the strategy of ensuring regular supply and logistical efficiency to mainly serve the Southeast and South regions of the country.
DDGS Export
In the first two months of 2026, the country exported 255.5 thousand tons of DDG/DDGS, with emphasis on destinations such as Turkey, China, Vietnam, Spain and New Zealand, which lead purchases of the Brazilian product.
The main milestone of the period occurred in February, when Brazil carried out the first shipment of DDG to China since the official opening of the market, in May 2025. The operation, concluded on the 14th, totaled 62.2 thousand tons and was carried out by the Port of Imbituba, in Santa Catarina.
According to Scot Consultoria, the cargo represents not only the debut of the Brazilian product on the Chinese market, but also a strategic move for the sector. Alone, the operation accounted for 24.3% of the entire volume exported by Brazil in 2026 to date, highlighting the weight of the new international demand.
“China’s entry into the export radar occurs after an audit and qualification process of Brazilian plants. In total, 13 establishments were authorized to export DDG to the Asian country, expanding access to one of the largest consumer markets for animal nutrition inputs in the world”, he informed.
In Scot Consultoria’s assessment, the new export front tends to reduce supply pressure in the domestic market, by increasing sales liquidity and diversifying the product’s destinations. Furthermore, Chinese demand reinforces the role of DDG/DDGS as a competitive alternative in global animal nutrition, especially in a scenario of search for efficiency and predictability in diets.
The operation takes place after the formalization of the bilateral agreement between Brazil and China in May 2025, which authorized the trade of the product, and the qualification of the company as the first Brazilian exporter able to serve that market in January 2026.
According to Renato Zicardi, director of International Trading at Inpasa, access to the Chinese market represents relevant technical recognition. “The qualification to export DDGS to the Chinese market reflects the trust built from a rigorous technical, quality and traceability process. China is one of the most demanding markets in the world, and being present in this destination demonstrates Inpasa’s ability to operate on a global scale, with consistent standards and full adherence to international requirements”, he states.
The opening of this new commercial flow is also the result of institutional coordination involving MAPA (), the Agricultural Attachment, the Brazilian Embassy in Beijing and the Ministry of Foreign Affairs, in addition to the actions of the private sector. The movement creates a new export front at a time when demand for protein ingredients is growing at a rapid pace, especially in Asia.
Pedro Zabotto, the company’s DDGS corporate manager, states that entering the Chinese market reinforces the technical positioning of the Brazilian product. “The opening of the Chinese market shows our superiority in standards, quality and nutritional value”, he says.
From a business point of view, the company is already signaling consistent progress in negotiations, with 250 thousand tons sold in the Chinese market. The international expansion strategy is part of a broader model of productive integration, in which the production of renewable energy and food occurs in the same agricultural area and in the same cycle, increasing the efficiency of land use and contributing to decarbonization goals.
Gustavo Mariano, vice president of Trading at the company, highlights that the movement is part of a structured global growth plan. “The opening of the Chinese market represents a relevant milestone in Inpasa’s international expansion strategy. It is a consistent step in our global growth trajectory, supported by industrial scale, rigorous standards of quality, safety and operational robustness”, he states.