Inside Report (1)

Congress may slap stiff import taxes on Brazilian alcohol being used to make gasohol for cars. Two years ago, the lawmakers exempted gasohol from the usual 4-cent-a-gallon tax on gasoline. The idea was to help US gasohol firms. But Brazil also got a boost.

Imports of Brazilian alcohol have gushed from near zero in 1978 to 8 million gallons a month today. That's worth $2.5 million a month to Brazilian producers , who make alcohol from sugar. US makers use more costly grains.

Congress is upset about all this. Imports of Brazilian alcohol to the US might even be blocked.m

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