After two months and a half of the off-season period, Brazilian ethanol prices had the first increase between Feb 11th and 15th. The CEPEA/ESALQ Index for the anhydrous (Sao Paulo state) averaged 0.78936 real or 0.4511 dollar per liter (excluding taxes), increasing 3.7 percent in Real over the previous week (Feb 6th and 8th). For the hydrated, the average was of 0.70777 real or 0.4044 dollar per liter (excluding taxes), upping 5.1 percent in Real in the same period.
At the beginning of December, when the harvesting was finishing in the Center-Southern region, the Indexes were at around 0.85 real or 0.47 dollar per liter (excluding taxes) for the anhydrous and 0.75 real or 0.42 dollar per liter (excluding taxes) for the hydrated.
The Brazilian Institute of Geography and Statistics (IBGE) forecasted the national 2008/09 sugarcane crop production at 549.606 million tons, increasing 6.7 percent over the previous crop.
Regarding the price parity calculated by Cepea, the anhydrous ethanol remunerated 2 percent more than the crystal sugar during the first fortnight of February. For the hydrated, the advantage was of 4 percent. Comparing the two types of ethanol, the anhydrous remunerated 6 percent more than hydrated in the same period.