Brazil: Alianca mill delays start of operations to 2020

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Sugarcane processor Alianca, in Brazil’s São Paulo state, has delayed the start of its operations for 2020, according to Brazil’s Money Times news website.

The mill, former known as Everest, was built 20 years ago but has never operated. It was set to start operations in the first half of 2019 but one of the mill’s current owners, Roberto Egreja, said the beginning of activities was delayed due to strategic reasons.

Sugarcane crops in the region were impacted by drought and low productivity in the past two seasons, resulting in a fall in the supply of raw material for operational mills focused on ethanol production in the area.

Low sugar price this year has also contributed for the decision to delay the start of operations at Aliança mill, which was also built to focus on sugar production (80% sugar mix). The mill owners opted to ensure this year’s revenue by selling sugarcane.

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