The U.S. Grains Council, Renewable Fuels Association and Growth Energy are asking the U.S. government to respond to Brazil’s decision to place a 20-percent tariff rate quota on U.S. ethanol imports. Grains Council’s Chief Economist Mike Dwyer says Brazilian officials went back on an agreement that had been in place for seven years.

He says U.S. ethanol industry representatives had made two trips to Brazil over the past six months and sent two letters trying to resolve the issue without any success. Dwyer says they’re now hoping the U.S. government can step in and reach a resolution.

Dwyer says if the TRQs are left intact, then the effect will be virtually no ethanol going into Brazil from the United States.

Brazil is the largest customer of U.S. ethanol this year having purchased 500 million gallons.