StoneX raises forecast for new sugarcane harvest in the Center-South of Brazil

Published Nov 29, 2022

Tridge summary

The sugarcane crushing in Brazil's center-south for the 2023/24 season is projected to reach 587.6 million tons, marking a 4.1% increase from the September forecast and a 5.4% rise from the previous season, as favorable rains are expected to boost the development of the crops. Additionally, the average Ton of Cane per Hectare (TCH) is anticipated to rise by 5% to 76.1 t/ha, while the Total Recoverable Sugar (ATR) might slightly decrease by 0.2%. The production mix, especially with regards to ethanol, remains uncertain due to potential tax changes. The center-south region is expected to see a significant growth in sugar, ethanol, and corn ethanol production by the end of the 2022/23 season, with sugar production forecasted at 35.6 million tons, ethanol production at 26.3 billion liters, and corn ethanol production at 5.5 billion liters, resulting in a total production of 31.8 billion liters.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The crushing of sugarcane in the center-south of Brazil in 2023/24 (April/March) was estimated this Tuesday at 587.6 million tons, growth of more than 4 million tons compared to the forecast September, with rains favoring the development of sugarcane fields that will be harvested next year, according to a survey by the StoneX consultancy. If this projection is confirmed, crushing in the main sugarcane producing region in the world should grow 5.4% compared to the previous season. "So far, climate models point to a volume of precipitation close to or above normality, for the main sugarcane regions of central-south Brazil", said StoneX, considering that, even losing strength, La Niña could harm regularity. of the rainfall regime until the end of the first quarter of 2023. Even if in a preliminary way, StoneX projects that the average TCH (Ton of Cane per Hectare) in the region will increase 5% in the annual comparison, reaching a level of 76.1 t/ha in 2023/24. The consultancy ...

Source: Moneytimes