Brazilian automotive fuel market has an important asymmetry: the size of gasoil market is 2.5 times the size of gasoline market. This asymmetry started in the 1970s, with two driving forces: The Brazilian government incentive to the light commercial vehicles running with gasoil and the biofuel program Proalcool, created to develop technology for the use of ethanol as fuel for the Otto cycle engines and to increase the ethanol production. The consequence for the Brazilian refineries was the excess of gasoline and lack of gasoil production.
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