European T2 ethanol prices sink to six-month low ahead of sugar deregulation

September 25, 2017 |

In the Netherlands, T2 ethanol prices sank to a six-month low last week in light of increased beet-based ethanol production expected to enter the market from October when the EU’s sugar regime is deregulated. Prices have been falling since July in expectation of significant supplies preparing to enter the European market. Weak sugar prices may see producers store it until prices rebound rather than producing ethanol with weak margins. Despite the expectation of increased ethanol supplies, some market participants believe the onslaught won’t be as large as anticipated.

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Category: Producer News

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