In India, BioEnergy Times reported that Brazil’s sugar and ethanol producers are expected to prioritize ethanol production in the 2026–2027 harvest, as biofuel prices reach multi-year highs while sugar futures hover near five-year lows, according to analysts and industry data.
Data from the Ministry of Agriculture showed that ethanol stocks in Brazil’s center-south region—the country’s main economic and production hub—totaled 5.81 billion liters as of January 15, down 20.7% from 7.33 billion liters a year earlier. The supply shortfall has pushed average prices for hydrous and anhydrous ethanol in São Paulo state to their highest levels in nearly three years, according to the report.
Mauricio Muruci, an analyst at Safras & Mercado, said ethanol prices are currently 30 to 40% higher than sugar, creating strong incentives for mills to divert more sugarcane toward biofuel production in the next season. He added that inventories are expected to rebuild gradually over the year.
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