Record high sugar prices hit ethanol market

The price of hydrous ethanol in Brazil is currently trading at roughly 15.0 cents per pound on a sugar basis. While sugar is trading at 22.25 cents per pound, according to sugar and biofuels advisory firm Kingsman.

UNICA, the Sao Paulo sugar and ethanol producers' association, recently reduced its forecast for CS Brazil ethanol production to 23.748 billion litres from an earlier forecast of 26.28bn litres over the period from May last year until April 2009. Anticipated ethanol exports have been

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