Brazilian sugar industry fears more fuel market manipulation on the horizon

In Brazil, Platts and Valor Economico report that the sugarcane industry is worried further fuel market manipulation could be on the cards following the resignation of Petrobras’ CEO under pressure of the recent truckers strike that saw much of the country’s economy shut down, including sugar mills. There are concerns that further manipulation in both gasoline and diesel markets could force sugar mills to pull back from increasing ethanol production and return to a focus on sugar despite a global supply glut and the government’s push to use ethanol to reduce greenhouse gas emissions.