Brazil ethanol prices continue to fall despite firmer demand

07 February 2012 16:12  [Source: ICIS news]

HOUSTON (ICIS)--Brazil ethanol prices fell again last week as ample supply outstripped a small increase in demand, research group CEPEA said on Tuesday.

CEPEA assessed hydrous ethanol at Brazilian reais (R) 1.0776/litre ($2.37/gal, €0.48/litre), down by 1.6% from R1.0956/litre in the week that ended on 27 January.

Anhydrous ethanol prices were assessed at R1.1560/litre, down by 0.8% from R1.1652/litre a week earlier.

Hydrous ethanol is used in Brazil as a standalone fuel in flexible-fuel vehicles (FFVs), competing directly with gasoline, while anhydrous ethanol is blended in gasoline at a mandated 20%.

CEPEA attributed supply pressure in Brazil to inventory reduction by some sugarcane mills in the key centre-south region.

The centre-south accounts for 90% of Brazil's ethanol production.

($1 = €0.76, R1.72)

Follow William on Twitter
For more on ethanol visit ICIS chemical intelligence


By: William Lemos
+1 713 525 2653



AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly

ICIS news FREE TRIAL
Get access to breaking chemical news as it happens.
ICIS Global Petrochemical Index (IPEX)
ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index