Brazil's Parana state sugarcane crush in H1 October up 70% year on year

25.10.2016

Sugarcane crushed in Brazil's Parana state in the first half of October totaled 2.2 million mt, up 70% year on year, but down 28% from H2 September, data from the Bioenergy Producers Association of Parana, or Alcopar, showed Monday.

Parana is one of the sugarcane producing states in Center-South Brazil, the largest producing region in the world.

The volume crushed was higher than last year as the weather was mostly dry in the region.

Alcopar said all the 25 mills in the region remain operational and the expectation is to keep the pace of crushing until mid of December.

About 61.51% of total cane crushed in H1 October was used to produce sugar, while the balance, or 38.49%, was directed to ethanol output, compared with 47.39% for sugar and 52.61% for ethanol during the same period a year ago.

Cane's total recoverable sugar -- known as ATR -- in the first half of October rose by 8.1 kg/mt of cane from the H2 September to 153.44 kg/mt and was up 24.56 kg/mt from a year ago. Sugar production in H1 October amounted to 198,459 mt, up from 75,729 mt last year, while ethanol output totaled 75.25 million liters, up 47.5% from a year ago.

Since the season began April 1 through October 16, the accumulated sugarcane crushed was up 4.6% year on year at 33.29 million mt, representing 77% of the total volume expected to be crushed during this season, according to Alcopar estimates released in March.

The percentage of cane allocated to produce sugar so far this season increased 4.72 percentage points year on year to 58.04% of the total cane crushed owing higher sugar prices.

Cumulative sugar production totaled 2.52 million mt, up 13% from same period last year.

With more cane directed to produce sugar, cumulative ethanol output declined 7% on the year to 1.1 billion liters. Of the total ethanol, anhydrous increased 10% on the year to 488 million liters while hydrous declined 17% year on year to 615 million liters.

Anhydrous production has been favored because of higher domestic demand for the product on lower demand for hydrous.

Accumulated ATR was 136.24 kg/mt, compared with 136.82 kg/mt same period last year.

Industry association UNICA is expected to release the crushing figures for the whole Center-South region October 28.


platts

Readers choice: TOP-5 articles of the month by UkrAgroConsult