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Back You are here: Home Business Other Markets Ethanol sales increase despite slow sugarcane harvest - UNICA

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Ethanol sales increase despite slow sugarcane harvest - UNICA

Ethanol sales are on the rise despite a slow sugarcane harvest due to rains for the period of the second half of May to the second half of June, according to UNICA, the Brazilian Sugarcane Industry Association.

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Ethanol production reached 1.48 billion liters for the first half of June, of which 851.52 million liters were of hydrous while 633.31 million liters were of anhydrous ethanol. As for ethanol sales, it totaled at 1.04 billion liters – a 28.18 percent increase compared to the previous year’s figure.

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Ethanol production and sales were still high despite the number of sugarcane crushed by mills in the South Central region of Brazil being relatively low at 35.140 million tons in the first two weeks of June, compared to the 35.136 million tons that were processed in the second half of May.

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“As was the case in the second half of May, harvest activities were hampered during the first half of June by rains that hit Brazil’s main growing regions,” said UNICA Technical Director Antonio de Padua Rodrigues.

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Despite the rains hampering the harvest, domestic sales of ethanol went up from 721.44 million liters in the period of the first half of June 2012 to 850.25 million liters in the period of the first half of June of the present year. According to UNICA, this increase was due to both domestic sales and export volumes.

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In the first half of June, domestic sales of hydrous ethanol went up to 450.65 million liters, a 9.34 percent increase compared to the previous-year period’s figures. The domestic sales of anhydrous ethanol also saw a marked increase, totaling at 355.68 million liters from the 266.60 million liters of the same period of the prior year. As for exported ethanol, it went up to 194.29 million liters from the 93.44 million liters of the same period in 2012.

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“Current pump prices of hydrous ethanol indicate that the biofuel is economically viable compared to gasoline for the greater part of the consuming market,” Mr. Rodrigues said.

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Mr. Rodrigues expects that the figures for the second half of June will show a significant increase in the availability of ethanol from producing units as indicated by rising sales of the product already seen in the chains of distribution and resale. – EcoSeed Staff

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