Analysts say sugar prices must fall much more before Brazil switches to ethanol

In Brazil, Australian analysts Green Pool say global sugar prices must fall much further from where they are now to have any sort of real impact on Brazilian mills to make them shift towards more ethanol production. Current sugar prices are around 13.41 cents per pound, below Sucden Financial’s estimate of the 14 cent ethanol parity line, but Green Pool still raised its estimate of Brazilian sugar production during 2017/18 by another 900,000 metric tons to 36.4 million tons.