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Aug 14, 2013

Brazilian governor says state will sue Siemens for price fixing

SAO PAULO, Aug 13 (Reuters) – Brazil’s São Paulo state will
sue German engineering giant Siemens to recoup public
funds its governor said it lost to a cartel that fixed prices
for public transit construction, equipment and upkeep.

“We are going to open a case against Siemens for damages to
public coffers and the state of São Paulo and to demand total
reimbursement,” Governor Geraldo Alckmin told reporters on

Aug 6, 2013

Brazil cane industry invests, just not in new ethanol production

SAO PAULO, Aug 6 (Reuters) – Brazil’s sugar and ethanol
industry continues to invest billions of dollars annually in
mechanization, warehouses, ports and biofuel pipelines, even
though new mills are off the table for now, local leaders in the
sector said on Tuesday.

In the heyday of Brazil’s ethanol industry, more than 30 new
mills opened in 2008/09, but over the past year, only two new
mills opened and they were largely carry through investments of
bigger, earlier projects. Mills can produce either sugar or

Jul 31, 2013

Exclusive: Frost damages nearly fifth of Brazil sugar cane crop: analyst

SAO PAULO (Reuters) – Last week’s frosts in southern Brazil damaged nearly a fifth of the unharvested cane crop in the principal growing region, an event likely to cut sugar exports from the world’s largest producer, agriculture research company Datagro said Wednesday.

Severe early morning frosts on July 24 and 25 in three of Brazil’s top sugar-cane states devastated large areas, Datagro President Plinio Nastari told Reuters. The cold blight comes at the peak the crushing season when more than half of Brazil’s expected record 590-million-tonne crop remains unharvested.

Jul 31, 2013

Exclusive: Frost damaged 18 percent of Brazil sugar cane crop – analyst

SAO PAULO (Reuters) – Last week’s frosts in southern Brazil damaged nearly a fifth of the 365 million tonnes of centre-south sugar cane yet to be harvested, potentially curbing output from the world’s largest exporter, industry research company Datagro said on Wednesday.

Datagro President Plinio Nastari told Reuters that severe frost on July 24 and 25 in southern cane growing regions may have killed entire fields, which would likely need to be replanted.

Jul 16, 2013

Brazil sugar mills follow local drivers in shift to ethanol

SAO PAULO, July 16 (Reuters) – Ethanol demand in Brazil rose
24 percent in June from a year ago, according to fuel
distributors, signaling a shift among motorists that will help
shrink the global sugar glut and reduce Brazil’s dependence on
gasoline imports.

As a global glut in sugar pushes prices near three-year
lows, Brazil’s cane industry association Unica is likely to
revise down its official forecast for sugar output from 35.5
million tonnes seen in April to no more than last year’s 34.1
million tonnes, Unica’s technical director, Antonio Padua
Rodrigues, said on Tuesday.

Jun 26, 2013

Brazil demand, rains counter dollar’s pull on sugar exports

SAO PAULO, June 26 (Reuters) – A strong dollar has prompted
Brazilian mills to sell sugar for export, but rain, growing
demand for ethanol and drought in the northeast have contained a
price surge of the sweetener on the international market for

Accounting for half the global exports in sugar, Brazil is
in the peak of crushing a record 35.5 million tonnes of sugar
from its main center-south cane crop, according to the cane
industry association, Unica, which will release its latest tally
of the crush on Wednesday afternoon.

Jun 4, 2013

Brazil bill seeks to open Amazon to new ethanol mills

SAO PAULO, June 4 (Reuters) – Brazil plans to vote on a bill
in the coming weeks to reopen large areas of the Amazon to sugar
cane mills, rekindling fears that ethanol production could
accelerate deforestation and create a major marketing challenge
for the country’s biofuels industry.

Environmentalists are concerned Congress’ vote could
overturn a ban on cane expansion in the region that went into
place in 2009 and increase pressure on land use in areas that
amount to nearly a third of the broader Amazon region in Brazil.

May 9, 2013

Brazil lowers soy crop view but exports to hold strong

SAO PAULO, May 9 (Reuters) – Brazil’s record 2012/13 soy
crop will turn out slightly smaller than the government crop
supply agency Conab forecast in April, but the agency sees
exports of the commodity holding firm at a record 36.78 million

In its eighth estimate of the season’s grain output released
on Thursday, Conab also raised its view of the corn crop from
last month and issued its first forecast of the 2013 wheat crop,
which is expected to recover from last year’s poor showing.

May 6, 2013

Brazil soy farmers, traders see smaller profits as prices drop

SAO PAULO, May 6 (Reuters) – While Brazil is marketing its
largest ever soybean crop, many producers and traders will
register smaller-than-expected profits as logjams across the
nation’s roads, railways and ports triggered a sharp drop in
local cash prices.

To be sure, it will be a good year for the local soy sector
given the strong demand, still attractive prices and massive
crop, but it will not be as sweet as it looked late in 2012.

Apr 23, 2013

Brazil throws troubled ethanol industry tax breaks, credit

BRASILIA/SAO PAULO, April 23 (Reuters) – Brazil’s government
threw its sugar-ethanol industry a lifeline on Tuesday, by
cutting taxes and sweetening credit for the struggling sector it
hopes will resume investments in new biofuel plants to bolster

Finance Minister Guido Mantega, who announced the measures,
said he expected a recovery in the ethanol industry could also
help curb stubborn consumer inflation by bringing down fuel
prices and reducing Brazil’s dependence on gasoline imports.

    • About Reese

      "I'm a ten-year Reuters commodities reporter in Brazil. The economic coming of age of the emerging markets has elevated the importance of the country's mineral and agricultural potential. After a decade here, I still feel as though I've only scratched the surface in understanding the country's wealth and diversity in commodities markets ranging from soybeans, sugar, coffee and orange juice to iron ore, petroleum and timber."
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