Brazilian cane harvest jumps YOY, while USDA WASDE forecast showed global corn strength
In the US and Brazil, the WASDE global crop reports and UNICA’s sugarcane forecasts were released. According to RFA’s Christina Martin, “Today’s WASDE report was a non-event as far as the U.S. corn balance sheet. The only change was a slight decrease in the 2012/13 season-average price estimate, from $7.60/bu. to $7.40/bu. However, there were some important revisions on the global side. Global coarse grains production was increased 7.9 million metric tons, as China reported a larger-than-expected corn crop (4% larger than the November estimate). Canadian corn output was also revised higher. The estimated size of Brazil’s corn crop was unchanged, while Argentina saw a slight decrease. Overall, traders were looking for a minor decrease in global corn output and instead they got a 1.2% increase.”
On the cane side, The amount of sugarcane processed by mills in Brazil’s South-Central region totaled 26.47 million tons during the first two weeks of November, a drop of 26.78% compared to the second half of October and a 42.34% jump from the 18.59 million tons registered in first-half November 2011. During the first half of November, the amount of Total Recoverable Sugars (ATR in Portuguese) per ton of harvested sugarcane totaled 137.24 kg, down 2.28% from 140.45 kg in the same period last year. Brazilian ethanol sales by mills in the South-Central region totaled 938.32 million liters during the first half of November, representing a 9.80% increase from the 854.59 million liters reached in the same period last year.
Category: Fuels