Platts sees Brazilian ethanol prices linked to continued focus on sugar production

In Brazil, Platts reports that high sugar prices are likely to keep mills focused on sugar production rather than ethanol in 2022, leading to continued high ethanol prices. As usual, the first part of the crush that officially kicks off in April will likely see more ethanol than sugar production, but Platts estimates 46.2% of the crush will go to sugar production, compared to 45.2% during the crush that is winding up now. Volatility of the US dollar/Brazilian real exchange rate is also expected to impact ethanol prices.