Brazil centre-south ethanol output surges by 55% in 2H October

08 November 2012 21:53  [Source: ICIS news]

HOUSTON (ICIS)--Brazil's centre-south region produced 55% more ethanol in the second half of October compared with the same period in 2011, industry group Unica said on Thursday.

Ethanol output in the centre-south totalled 1.495bn litres from 15-31 October, up from 967m litres one year earlier, Unica said in its latest crop update.

The increase came as sugarcane production rose by 56% in the period, the Brazilian group said, attributing the increase to favourable weather conditions and a higher number of sugarcane mills that were in operation in the second half of October.

Unica said 19 sugarcane mills in the centre-south have finished the 2012 harvest and halted production for the year.

The figure compares with 97 mills that were already off line at this time last year.

The sugarcane harvest in the centre-south, which accounts for 90% of Brazil's ethanol production, runs from April to November/December.

The latest increase in ethanol production puts output in the centre-south from April to 1 November at 18.25bn litres, down by 4.6% from 19.13bn litres in the same period in 2011.

Despite the drop, ethanol output in the region is expected to reach 21.05bn litres for the 2012 harvest, the Brazilian group predicted in September, a nearly 2.5% increase from the amount of ethanol produced in 2011.

Brazil also produces ethanol in the northeast region of the country. The sugarcane harvest in that area runs from September to March.

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By: William Lemos
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