Mauro Ricardo Costa, the finance secretary of the state of São Paulo, where the great majority of Brazil’s approximately 400 ethanol distilleries are located, says he intends to monitor the sector more rigorously.
Recent tax receipts have come in much lower than was expected, and there is evidence of tax evasion amongst ethanol producers, according to local media reports.
"It is possible that many companies are unable to pay taxes,” says Marcos Sawaya Jank, president of the Brazilian sugar-cane industry association, UNICA.
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