UNICA says Brazilian mills go for sugar, not ethanol, as harvest drops

In Brazil, UNICA says that mills are favoring sugar production rather than ethanol considering the smaller-than-expected size of the cane crop as well as higher sugar prices globally. Ethanol production between April and Aug. 15 fell 19% on the year to just 12 billion liters with total production seen at 21 billion liters, down from 25 billion liters last season.

Currently sugar production is 50.3% of the crush, up 3.4% from last year. In July, sugar paid more than 50% more than ethanol. Of the total ethanol production, 16% more anhydrous was produced—year-on-year— at 4.5 billion liters, while hydrous production fell 31% to 7.5 billion liters.