Multi-objective optimization of the Brazilian industrial sugarcane scenario: a profitable and ecological approach

Sugarcane can play an important role in helping to solve many of the economic and environmental challenges as it has the potential of creating jobs, lowering carbon dioxide emissions, enhancing energy security, and reducing global dependence on fossil fuels. This paper presents a mathematical approach to optimize the Brazilian supply chain (SC) of sugar and bioethanol, using sugarcane as raw material. SC management of sugarcane-based products can be treated as a bi-objective optimization problem with a MILP formulation, in order to find solutions to balance economic profits and environmental damage. A mathematical model is developed and implemented in GAMS, comparing seven different production technologies. The results indicate a set of optimal SC possibilities for the Brazilian scenario and that both quantities and selection of technologies indicated by Pareto optimal solutions are distinguished, outlining three different configurations: environmental, economic, and a balanced scenario. The distribution of technologies in each of the Brazilian regions is presented in these three distinct scenarios indicating that, to approximate the current chain to a balanced solution, it is necessary to migrate technological plants of only sugar products to mixed products technologies (i.e., sugar and bioethanol) and to complement bioethanol production with autonomous distilleries, especially of anhydrous bioethanol production. In this scenario, governmental authorities, sector investors, and decision-makers can plan the implementation of new plants based on the recommendations of this study.