Falling Real to see mills switch to ethanol and reduce imports from US

In Brazil, last Friday’s slide of the Real could see imports from the US slow even further as lower sugar prices push mills to switch to ethanol production, boosting local supplies rather than relying on the US. Already the government had put in place storage requirements for importers similar to domestic producers, a move that was meant to reduce imports, but the shift in the ethanol parity level could reduce that demand for imports even further.