The Dong Xanh Joint Stock Company has successfully produced its first batch of 2,000 tonnes of ethanol - which is used to mix with petrol into a bio-fuel alternative to gasoline.

Dong Xanh began building its 500-billion VND ethanol plant in the central province of Quang Nam in July 2007 as part of the government’s project to develop bio-fuel until 2015 with a vision through 2025.

The plant, the first of its kind in Vietnam , is expected to use 300,000 tonnes of dried cassava to turn out 100,000 tonnes of ethanol, equivalent to 120 million litres, a year.

A large volume of the products will be sold in the domestic market, and the rest will be exported to Japan and the Republic of Korea.

The use of bio-fuel is not only environmentally friendly as it releases less CO2 when burnt than fossil fuels do, but also helps bring stable incomes to cassava growers across the country, who annually produce up to 7.5 million tonnes of cassava on a total acreage of 500,000 hectares.

Last year, the company joined hands with the PetroVietnam Bio-ethanol Company, an affiliate of the Vietnam National Oil and Gas Group, to sell on a trial basis imported ethanol-petrol blends in several provinces and cities./.