The unfavourable weather is likely to impact the sugar output in Brazil in the new season, predicts the Asian commodities trader Wilmar WLIL.SI
According to Wilmar, the centre-south region will witness a fall of cane crop to 500 million tonnes in 2021/22. The cane output was 605 million tonnes in the previous season. The sugar output is likely to drop to 31 to 33 million tonnes from 38.5 million tonnes.
Along with the trader, many analysts and experts have predicted the fall in sugar production in Brazil after record production last year. They have predicted the production of about 35 million tonnes.
The ethanol production in Brazil is also likely to lower to 23 billion to 25 billion litres from 27.8 billion litres in the previous season, projects Wilmar.