SUGAR PRODUCTION IN THE CENTER-SOUTH COULD GROW 4% IN 2026/27, INDICATES DATAGRO

Brazil’s Center-South sugar production for the 2026/27 harvest is projected at 43.2 million tons, up from 41.42 million tons in the current cycle, according to Datagro. The increase of over 4% is expected due to higher sugarcane crushing, estimated at 625 million tons versus 607.38 million tons this year, though weather may affect outcomes. Re-harvested sugarcane is expected to be low due to disruptions from last year’s fires and weather, impacting the early season, while the mid-season looks favorable and the final third depends on April rains. The sugar-to-ethanol allocation is projected at 52% sugar. Ethanol production in 2025/26 is forecast to drop nearly 5% to 33.23 billion liters, despite a 20% rise in corn ethanol to 10 billion liters. Corn ethanol is expected to grow 3–3.5 billion liters in 2026/27 due to competitiveness and new plants.
Source: Nova Cana