The Philippines' domestic bioethanol reference price fell to a five-year low at Pesos 42.48/liter (85 cents/liter) in November, down 27% year on year, according to data released Friday by the Sugar Regulatory Administration.
The reference price is calculated by adding up transportation costs and the average cost of two major feedstocks for ethanol production, molasses and sugarcane.
According to the report, the Negros molasses price fell Pesos 2,155.77/mt from October to Pesos 4,125.06/mt in November, resulting in a lower equivalent feedstock cost of Pesos 18.67/l -- which is the lowest level since January 2012.
The equivalent sugarcane feedstock cost in November was Pesos 21.7/l, equating to a sugarcane price of a four-month low at Pesos 1,519.28/mt, down Pesos 89.42/mt month on month.
In comparison, the monthly average CIF Philippines fuel ethanol price was $469.04/cu m in November, S&P Global Platts data showed.
This means that despite the year-on-year fall, the domestic bioethanol price remains close to double the price of imported material.
