Domestic prices for hydrous and anhydrous ethanol were down in the first week of April on low demand after the previous week saw firmer prices on low inventory during the inter-harvest period, according to data from research institute CEPEA/ESALQ Tuesday.
Hydrous ethanol -- which is used as an alternative to gasoline by drivers of flex-fuel vehicles -- was offered at Reais 1.2131/cu m ($664/cu m) after taxes in the first week of April, a decrease of Reais 0.0027/cu m ($2/cu m) from the previous week, when ethanol offers averaged Reais 1.2158/cu m ($666/cu m) after taxes.
Anhydrous ethanol, which is used for mandatory blending into gasoline in Brazil, was offered by producers at Reais 1.2924/cu m ($707/cu m) including taxes, down from Reais 1.2914/ cu m a week before.
On the export side, Brazilian anhydrous ethanol FOB Santos ex-duty was assessed at Reais 1.400/cu m ($766/cu m), stable from the previous week.
According to an industry report by Sao Paulo-based trading firm Mega, the availability of new crop product is still at a low pace in the center-south region, but more supply should be seen at the end of the month, when the harvest officially begins.
The new crop in the center-south region -- the world's largest for sugarcane growing -- was postponed and will officially start at the end of April, instead of the beginning, because of unseasonably dry conditions.
