Paraguay: The soy-based biofuel industry, Cremer Óleo, will start producing from April 2023

This MIC release was published using machine translation.

In the first half of April 2023, in Villeta, Central Department, the German global company Cremer Óleo Paraguay will begin to produce soy biodiesel.

The firm made an investment of US$ 30 million and currently employs at least 250 workers in its final assembly stage.

The Minister of Industry and Commerce (MIC), Luis Alberto Castiglioni, who together with the Vice Minister of Industry, Francisco Ruiz Díaz, made a technical tour of the industry, highlighted that the new industrial policy carried out by the National Government facilitates the development of the competitive production of biofuels in Paraguay.

The industrial plant will produce biodiesel from degummed soybean oil, to supply both the domestic and foreign markets, taking into account that they are intended for export.

On the technical tour, the MIC authorities were accompanied by the main executives of the German global company. On the occasion, the Secretary of State spoke with the workers of the plant, a complex that is 95% complete in its construction.

Castiglioni stressed that the MIC aims for companies like Cremer to invest in the country, because they bring job opportunities for Paraguayans. "The success of this company means work, dignity and opportunities for everyone and many other people from other parts. We work every day so that companies like this can get closer to Paraguay," said Minister Castiglioni.

He reported that the international company made a request regarding the treatment of the raw material that the company will use. "We put on the country's shirt, as always, and also the shirt of this company, because it depended on installing it in the country. For this reason, we worked day and night with the Vice Minister of Industry, who was in charge of defending our philosophy before the Ministry of Finance. We do that every day, because the more companies like this come to Paraguay, the better it will be for all Paraguayans," he stressed.

He also mentioned that the directors valued the capacity and human quality of the Paraguayan. "It made me very happy and proud, as a Paraguayan, that people like the directors, who have already seen a lot in the world, who have already worked a lot with other people in the world, value in this way the capacity of the Paraguayan / Paraguayan, of the quality of our spirit and our culture of work, and what we can achieve; I thank them for giving opportunities to our compatriots. The Paraguayan is a noble person who believes in work, who accompanies the company, because he knows that his family is linked to its success," he said.

"CRUCIAL STAGE", SAYS MANAGER

The commercial manager of BCD Metalúrgica, Wilson Bernardo Penayo, one of the national companies that are working on the infrastructure of the factory, pointed out that they have been working since April 27 of last year, and that they are currently in a phase already crucial, apart from the endings.

"We have approximately, on the part of the company, about 60 employees; it is 100% Paraguayan labor, which works in the German oil plant that is coming to be installed in the country. Paraguayan labor will produce 300 tons per day of soy-based biodiesel, with a future increase of 450 tons per day. We are very happy, because in this way we industrialize our country, and above all, Paraguayan labor is being very efficient and effective, competing with other large companies, both nationally and internationally," he said.

INDUSTRIAL COMPETITIVENESS

In July 2022, the arrival of the global company Cremer Óleo in Paraguay was announced. With the support of the Ministry of Finance, through the Undersecretary of State for Taxation (SET), it was possible to establish a mechanism that allows the production of biodiesel in Paraguay to become industrially competitive, based on the approval of General Resolution No. ° 125/2023, which regulates Law No. 6389/2019, where crude oil is incorporated as a raw material for the biofuel industry.

Within this framework, the company Cremer Óleo identified the importance of said benefit, strategically settling in Villeta in front of the Angostura SA Agroindustrial Complex (CAIASA), through which it will be connected by means of an oil pipeline that will provide it with all the raw material. necessary for the second phase of industrialization of crude oil.

Likewise, an important point to highlight is the supply chain for civil works, which is being covered in 90% by national companies, including medium-sized companies.

The installed biodiesel production capacity is 100,000 tons per year, which will be covered by local raw material suppliers, in this case, soybean oil. According to RIEL data, the annual soybean oil production capacity is 427,215 tons.

ABOUT CREMER

The Cremer Group was founded in 1946, a global company dedicated to trade, logistics and production. It has more than 2,000 employees and is operating in more than 30 countries. Due to the growing demand for oleochemical products, in 2005 the group founded Cremer Óleo, a specialist company for vegetable oils and fats headquartered in Hamburg.

Cremer Óleo has a robust operations structure that guarantees the supply chain, with an international presence in countries such as Brazil, the Czech Republic, France and Great Britain, and with three production plants located in the US, China and Germany.

Its production focuses on vegetable oils and their derivatives, such as glycerin, fatty acids, fatty alcohols and bioethanol, as well as sustainable raw materials for the cosmetic, food and pharmaceutical industries.