Cepea, February 18, 2020 – Although demand is lower, ethanol quotes increased in Brazil in the first fortnight of February, since agents from refineries were unwilling to lower asking prices.
Between February 10 and 14, the CEPEA/ESALQ Index for hydrous ethanol (paid to farmers) averaged 2.1203 BRL per liter (zero ICMS and zero PIS/Cofins), 1.6% up compared to that in the week between January 27 and 31. As for anhydrous ethanol, the CEPEA/ESALQ Index averaged 2.2777 BRL per liter (zero PIS/Cofins), 0.8% up in the same comparison.
The ESALQ/BM&FBovespa Index for the hydrous ethanol delivered in Paulínia (SP) closed at 2,190.00 BRL/cubic meter (zero taxes) on February 14, a slight 0.2% up compared to that on January 31. This Index increased less than the other two because of the purchases of hydrous ethanol from other states in central-southern Brazil, mainly Mato Grosso, besides sample differences.
As regards anhydrous ethanol, the number of deals closed increased in the fortnight. After the inventory confirmation for this type of ethanol – within the Resolution 67 from ANP (National Agency of Petroleum, Natural Gas and Biofuels) –, on January 31, refineries made larger volumes available in the spot market.
EXPORTS – In January, Brazil exported 78.1 million liters of ethanol (anhydrous and hydrous), and revenue totaled 43.1 million USD (178.8 million BRL), according to Secex. From April/19 to January/20 (2019/20 year-crop), Brazil shipped 1.7 billion liters of ethanol, more than that exported in the same period last season (April/18 to January/19), at 1.516 billion liters.