Firm ethanol prices, the expansion of corn biofuel plants, and a growth in the sugarcane crop will lead to a jump in production this year.
원본 콘텐츠
Steady ethanol prices, the expansion of corn biofuel plants, and a growth in the sugarcane crop will lead to a jump in production this year in Brazil, the world's second-largest producer of the renewable fuel, analysts and commodity traders said on Tuesday (3). They stated during a panel at the Dubai Sugar Conference that the increase in production this year will be due to the combination of the change in the "mix" of sugarcane to produce more ethanol and less sugar and the entry into operation of new corn processing plants. Sugarcane plants, which have the flexibility to produce more sugar or more ethanol, are dealing with low global sugar prices, with the raw sugar contract in New York oscillating around the lowest price in five years. "There is a clear incentive for plants to start the new crop producing more ethanol," said Guilherme Nastari, director of the consultancy Datagro. Current ethanol prices in Brazil, he said, are being negotiated with large premiums over the price ...