A Decade of Biodiesel Industry in Brazil: An Analysis of Concentration and Market Structure from 2010 to 2021

Abstract

This article analyzes the Brazilian Biodiesel Industry from 2010 to 2021 using the CR4, CR8 indexes, and the Herfindahl-Hirschman Index (HHI). The study uses data on biodiesel production from the National Agency for Petroleum, Natural Gas and Biofuels [ANP] database and analyzes the concentration of producers in the CR2, CR4, and CR8 categories through frequency distribution. The results show that the biodiesel industry has maintained a moderately low level of concentration, with small variations in CR4 and CR8. The analysis identifies the industry as an oligopoly plus oligopsony, or a bilateral oligopoly, with large producers dominating production and small producers having a negligible share.