Food ingredients group Danisco has joined forces with chemicals giant DuPont in a bid to develop ethanol that does not rely on food crops.
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The venture, which will initially look at cellulosic ethanol, will give hope to critics who have blamed the production of biofuels for rising food prices.
“With food and gas prices surging at double-digit rates, there is an imperative for sustainable biofuels technologies,” said DuPont chairman and CEO Chad Holliday. “This joint venture addresses this issue head on.”
The two companies plan to invest some US$140m and will initially look at target corn stover and sugar cane bagasse.
Holliday added: “We are significantly increasing the potential to make cellulosic ethanol from multiple non-food sources an economic reality around the world.”
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By GlobalDataGovernment backing for biofuels in the US and the EU has hit corn stocks and the reduced supply of corn has been cited as a key factor in soaring commodity costs and food inflation.
Danisco CEO Tom Knutzen said: “This joint venture will be a powerhouse of discovery, development and engineering.”
