StoneX lowers forecast for Brazil’s sugarcane crushing in 2024/25
SAO PAULO, Jan 31 (Reuters) – Sugarcane crushing in Brazil’s center-south is expected to reach 622.1 million metric tons in 2024/25, agribusiness consultancy StoneX said on Wednesday, lowering the forecast it made in November by 1% due to low rainfall in both December and January.
If the forecast is confirmed, Brazil’s main sugarcane belt would see a 5.4% drop in crushing compared to 2023/24, when a record volume was processed. The 2024/25 season starts in April.
StoneX said that sugar production in the region is set to hit a record 43.1 million tons, a slight drop from the 43.2 million tons previously estimated. That would represent an increase of 1% compared to the last season, it added.
Higher sugar output would come as farmers allocate more cane to produce the sweetener, with 52% of their sugarcane volume expected to be allocated to sugar production, up from 51.4% in the previous forecast and 49% in the previous season.
Total ethanol production, including biofuel made from corn, was estimated at 31.7 billion liters in 2024/25, compared to 32.2 billion in the previous forecast and down 5.5% from the previous cycle.
Source Link: https://www.nasdaq.com/articles/stonex-lowers-forecast-for-brazils-sugarcane-crushing-in-2024-25
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