BRAZIL: Ethanol prices fall sharply despite heated demand
Published: 05/02/2018, 5:04:00 PM
Ethanol prices in Brazil's São Paulo state posted double-digit decreases in the first month of the 2018/19 sugarcane season, according to the Centre for Advanced Studies on Applied Economics (CEPEA), reports Sugaronline.
The average price for hydrous ethanol in April was 17.8% lower than the value registered in March, and the index for anhydrous fell 10.4% in the same comparison basis.
Sharp decreases in prices were concentrated in the first half of the month. "Many mills in São Paulo had to sell quickly at the beginning of the cane crushing process in order to generate cash," analysts at CEPEA wrote in a note posted on the centre's website.
CEPEA/ESALQ index for hydrous ethanol price closed at BRL1.4586 (US$0.4205) per litre on April 27, and anhydrous ethanol at BRL1.6647 (US$0.4799).