Brazilian ethanol prices kept firm during the first fortnight of September. In general terms, prices for both types of ethanol have been showing stability during the last weeks, confirming that there is no shock of supply and demand.
Between Sept 8th and 12th, the CEPEA/ESALQ Index for the hydrated (Sao Paulo state) averaged 0.7428 reals or 0.4178 dollars per liter (excluding taxes), up 0.45 percent from the previous period. For anhydrous, the raise was of 2.07 percent, at 0.8922 real or 0.5018 dollar per liter (excluding taxes). Mills that were trading in the spot market in this period remained firm about the values, especially for the anhydrous. Other ones remained focused on accomplishing contracts for the domestic and international markets.
According to the first Unica revision to the 2008/09 crop in the Center-Southern region, the sugarcane volume should increase 13.1 percent compared to the previous season. For anhydrous ethanol, the raise should be of 8.7 percent and for hydrated, of 22 percent. Concerning the productivity, it is expected a decrease of 2.6 percent in relation to 2007/08 crop.
Brazilian exports have been increasing month by month. In August, the volume reached 623.3 million liters, 42 percent superior to the one exported in Aug/07. (Cepea - Brazil)