Brazil’s new sugarcane crop forecast revised down -consultancy
RIO DE JANEIRO, Feb 9 (Reuters) – The amount of sugarcane to be processed in Brazil’s center-south region in the 2024/25 season (April-March) was estimated at 650 million metric tons, a cut of 10 million tons from a January forecast, due to poor rains, consultancy Safras & Mercado said on Friday.
It was the consultancy’s second downward revision of the new crop. The first estimate, made in December 2023, had pointed to a total volume of 670 million tons.
According to Safras’ sugar analyst, Mauricio Muruci, rainfall in the center-south has been between 13% and 17% below average since December 2023.
Despite the cut in cane volume, sugar production in the center-south is expected to rise to 42 million tons, compared to 41 million tons in the previous season.
High prices on the international market and the high volume of advanced hedging of the future harvest will keep mills focused on producing the commodity in order to fulfill export contracts, said the consultant.
Source Link: https://www.nasdaq.com/articles/brazils-new-sugarcane-crop-forecast-revised-down-consultancy
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