Brazil focuses more on Ethanol production

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Sao Paulo: Mills in Brazil have focussed on increasing ethanol production and reduced sugar production. According to industry group Unica, the mills in early November produced 7,86,000 tonne of sweetener which is 11 per cent less than the same period last year, whereas the ethanol production rose by 19 per cent to 1.29 billion litres.

120 mills have finished cane processing by November as against 86 in last season. The mills diverted 28 per cent cane for sugar production in the first half of November whereas 34 per cent cane was used during last season, which shows mills are more inclined towards ethanol production.

The falling prices of sugar in the international market has helped Brazil to emphasise more on ethanol production. The excess production of sugar kept the prices low, and the mills turned back to their favourite ethanol production as the gasoline prices have increased.

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