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Cost forecast for the sugarcane and ethanol sector in the Central-South region of Brazil: 2017/18 harvest

Author

Listed:
  • Bigaton, Aline
  • Danelon, André Felipe
  • Bressan, Gustavo
  • Silva, Haroldo José Torres
  • Rosa, John Henry Mantellatto

Abstract

This publication presents the agro-industrial production cost projections for the sugarcane and energy sector for the 2017/18 harvest in the Center-South region of Brazil. Characterized by a decrease in harvested area and productivity, this harvest is expected to show an increase in total sugar production costs and a decrease in ethanol production costs. The cost of sugarcane is expected to be 0.2% higher than in the previous harvest. Despite the positive margins expected for sugar sales due to financial hedging practices, the 2017/18 harvest brings a warning sign with the accelerated fall in prices on the international free market.

Suggested Citation

  • Bigaton, Aline & Danelon, André Felipe & Bressan, Gustavo & Silva, Haroldo José Torres & Rosa, John Henry Mantellatto, 2017. "Cost forecast for the sugarcane and ethanol sector in the Central-South region of Brazil: 2017/18 harvest," Revista IPecege, University of Sao Paulo, vol. 3(3).
    • Handle: RePEc:ags:ipeceg:386271
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    File URL: https://ageconsearch.umn.edu/record/386271/files/admin%2C%2B7%2B-%2BBigaton%2Bet%2Bal..pdf
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