Brazil sugar-ethanol mill maker Dedini IndŴstrias de Base said on Monday it has signed a cooperation agreement with India’s Praj Industries to sell equipment for ethanol production, including technologies for corn-based biofuel.

“Through this deal, Praj and Dedini will sell and install plants to produce ethanol from grains and also work to modernise existing ethanol production facilities in Brazil,” Dedini said in an emailed statement. The deal value was not disclosed.

The company added that the cooperation agreement eyes a growing demand for ethanol as a result of an upcoming national programme to boost biofuel use, known as RenovaBio, which is scheduled to start on January. 1. Based on industry calculations, Dedini said RenovaBio would require the expansion of plants in Brazil, as well as the reactivation of some that have closed and the 30 new large mills.