Cepea, October 16, 2024 – The pace of trades was firm in the spot market of São Paulo state in mid-October. Players from distributors were active on closing deals. As a result, the ethanol volume traded from October 7-11 was the third highest of the 2024/25 crop.
Between October 7 and 11, the CEPEA/ESALQ Index for hydrous ethanol closed at BRL 2.5159/liter (net of ICMS and PIS/Cofins), for an increase of 2.31% compared to that in the previous week. Concerning anhydrous ethanol, the CEPEA/ESALQ Index closed at BRL 2.7572/liter, net of taxes (PIS/Cofins), upping 0.54% in the same period.
Data from Cepea indicate that the last quarter (October, November and December) of the last six years registered an increase in the demand. The participation of these months together in the total of hydrous ethanol traded in the accumulated of the crop (from April 1st of one year to March 31st of the next one) registered the following percentages: 28.1% in 2018; 31.3% in 2019; 35% in 2020; 18.8% in 2021; 28.6% in 2022 and 28.2% in 2023.
Processing activities of the 2024/25 season are close to the end in most part of the Central-South in Brazil. The dry weather still concerns players regarding the next cycle, since rains over the last months were below-average. According to information gathered by Cepea, processing activities are likely to finish in October in some mills.
(Cepea-Brazil)
