Brazil Anticipates Sugar Cane Harvest by 2 Months to Contain Ethanol Prices

Brazilian drivers, many of them behind the wheel of newly popular hybrid models (known as "flex-fuel" or just "flex," which can run on gasoline with an ethanol additive or pure ethanol) have not been hit hard by US$ 60-plus barrels of petroleum precisely because the country has its sugarcane-based ethanol alternative fuel.

But recently the growing cycle stepped into the picture and messed things up slightly.

With the next sugarcane harvest scheduled to begin in May, and the last harvest long over, there was a shortfall in the ethanol supply that began to have a negative effect on prices at the pump at the end of last year.

In January the government made a quick deal with the sugarcane growers and sugar mill owners (usineiros) to hold prices stable. But market forces sank that agreement quickly.

Now the usineiros association in the state of São Paulo (União da Agroindústria dos Canavieiros de São Paulo) (Unica) has agreed to anticipate their harvest.

The official opening of the harvest will take place in the city of São Tomé, state of Paraná, next Wednesday. That is Ash Wednesday, conveniently after Carnaval.

Unica says its decision to anticipate the harvest "will increase the supply of ethanol on the market." And that is what everybody wants.

Agência Brasil

Tags:

You May Also Like

Profit-Taking Time in Brazil and LatAm

Brazilian and Latin American markets reversed their recent positive course and succumbed to selling ...

Once Again US Says the End of Visas for Brazilians Is Near

In an interview with Brazil’s leading weekly newsmagazine Veja, Thomas A. Shannon, the American ...

Tourism Brought US$ 3.2 Billion to Brazil in 2004

4.7 million foreign tourists came to Brazil in 2004, 14% more when compared to ...

Colors of Paradise

Landscape architect Burle Marx bought a ranch in Rio in 1949 to store his ...

A Sample of Brazil’s Evil: Removing a Kid from the Streets Is Against the Law.

The head of a family must take responsibility for the education of his or ...

Hoping These Poor in Brazil Will Inspire More than Just a Liberal Guilt Trip

The Scalabrinian Order of the Catholic Church was founded in Italy in 1887 by ...

Seu Lunga: This Brazilian Celebrity Won’t Forgive a Stupid Question

Going through a text about the Turkish folktales of Nasredin Hodja with one of ...

Brazil Has Best Semester for Car Sales Ever: Close to 1.5 Million Units

Brazilian car sales in the first half of 2009 grew 3% in comparison with ...

Brazil’s Arabian Horse Expo Brings Breeders from US and EU

Brazilian horse breeders want to guarantee closer ties with the Arab market in coming ...

Brazil Wants to Be Known As Software-Hip Country

The Brazilian government and the private sector signed an agreement to stimulate exports of ...