Brazil's President Lula and Japan's Prime-Minister Yasuo Fukuda signed a cooperation agreement for biofuel research during the G8 Summit in Hokkaido, Japan.
According to Fukuda, Japan will increase its output and supply the necessary technology for the development of second biofuel generation, which is made from non-food products.
The Japanese Prime-Minister also supported Lula's statement that Brazil's biofuel production – the second largest in the world – has not been causing a food shortage in the country.
During the meeting Lula also urged for a strengthening in Brazil and Japan's economic relations, especially in the areas of energy, semiconductors, steel and food.
