ETHANOL CONSUMPTION WILL REMAIN STRONG WITH ADVANTAGE OVER GASOLINE, SAYS RAÍZEN.

Raízen, the top global sugar and ethanol producer, expects strong demand for ethanol in Brazil until at least April. Their CEO, Ricardo Mussa, says the price advantage over gasoline remains high, despite recent price hikes. With ethanol still cheaper, Mussa anticipates further price increases due to high demand. However, he clarifies that ethanol is a small part of their business, and their value-added exports command higher prices than market averages. While expecting continued strength in diesel demand based on agriculture, Mussa also acknowledges that Brazil depends on imports and that Petrobras’ new pricing strategy, while stabilizing the market, still follows international trends.
Source: Nova Cana