Bloomberg:Brazil Ethanol Producers Get $167 Million Aid to Combat Drought
By Stephan Nielsen - Jul 12, 2013 7:08 AM
Brazil is preparing to disburse 380 million reais ($167 million) of subsidies to ethanol mills in the northeast
by 2014 to renew sugar-cane crops and help growers recover from the worst drought in five decades.
Some planters in particularly hard-hit regions including northern Pernambuco state and southern Alagoas have seen more than 40 percent of their crops wither due to lack of rain, he said.
“If we don’t intervene then there’s going to be supply problem” for ethanol in the region, Caldas said. “For the last three years this drought has been getting worst and this last year was especially brutal.”
Brazil Ethanol Prices Mostly Higher on Lower Supply
Anhydrous ethanol prices averaged $2.58 a gallon unchanged for the week
Brazil's anhydrous fuel ethanol is mostly for exports to the United States and other countries.
US Imports from Brazil 25 thousand barrels from ZERO last week all in the EAST pad
West Coast Ethanol current level 1.88M down from 1.916M last week and down from 2.45M one year
ago.This is a change of -1.51% from last week and -22.98% from 1 year ago.
West Coast Ethanol Stockpiles are at the Same Level as the 3 Year Low of Nov. 2011
West Coast Ethanol $2.74 per Gallon
Ethanol (Cash) $2.45
Ethanol (Aug '13) $2.449
EIA July 10 report
“Increased production and imports are helping, but the supply situation is still generally tight,”
The corn crush spread, or the cost difference between a gallon of ethanol, based on September contracts for the fuel and grain, was 29 cents, up from 28 cents yesterday, data compiled by Bloomberg show.
U.S. Ethanol RINs Reach Record Highs on Consumption Targets
D6 Corn Ethanol RINs jumped 10 cents to $1.15 Friday