In Brazil, increased ethanol production is boosting supplies and lowering prices, but not in time to have an impact on hydrous ethanol sales in March that fell 20% on the year to 1.12 billion liters. On the other hand, anhydrous sales jumped more than 16% during the same period to 1 billion liters as drivers switched back to gasoline that is blended with 27% anhydrous ethanol when 100% hydrous became too expensive. As hydrous prices fall in response to increased production, consumption is expected to rise again.
