DATAGRO PREDICTS INCREASED MARGINS FOR CORN ETHANOL INDUSTRY IN 2025-26

After a challenging year, Brazil’s corn ethanol sector is poised for improved profitability, with projected margins rising to 19-34.7% (up from 9.8% in 2024-25) according to Datagro. Market revival fueled: 37% corn price drop in Sorriso, rising ethanol/DDGS values, and 8.7% production increase to 132.68M tons – rebalancing supply and demand. The possibility of increasing the blend of anhydrous ethanol in gasoline, as well as strong sales of hydrous ethanol, both help to grow the industry. If the trend continues, corn ethanol production might more than double over the following decade, reaching 18.4 billion liters in 2033-34.
Source: RPA News (*Translated by Ia Niani)