Sugar and Ethanol

Ethanol production is expected to reach 35.5bn liters and will consume 65% of ground sugarcane

Dec, 19, 2019 Posted by Sylvia Schandert

Week 201952

Of the 642.7m tons of sugarcane to be crushed in Brazil, about 65% is destined for ethanol production, distributed in anhydrous and hydrated byproducts, and 35% for sugar. Growth was 3.6% over the previous crop. The area decreased by 1.35%, reaching 8.48m hectares. The data are in the 3rd survey of the 2019/20 Sugarcane Crop, released this Thursday (12/19) by the Food Supply and Statistics Agency (Conab).

The fact that the area reduction allows the crop to increase is due to the good productivity of the sugarcane fields, which currently stands at 75.7 tons/hectare and an increase of 4.9%. In some regions, growers are shifting production areas to renewal areas in search of higher productivity.

Total ethanol production from sugarcane and corn is 35.5bn liters, with an increase of 7.2% compared to the 2018/19 crop. There are 33.8bn liters from sugarcane extraction alone with a growth of 4.6%. Of this total, most goes to hydrous ethanol, generating 23.6bn liters, while anhydrous generates 10.2bn.

In turn, corn ethanol is increasing the interest of producers and Conab has been observing this relevance in the destination of the product for fuel since May, when it began to include the cereal in its research. The estimate is for a production of 1.69bn liters, with 114% increase compared to the last crop. Biofuel in hydrated form signals production of 1.2bn liters, with growth of 120%, while anhydrous reaches 463m and an increase of 2.6% more than in the previous study.

On the other hand, the 35% of sugar milling will allow the production of 30.1m tons of the byproduct, with a growth of 3.8%.

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