By Marcelo Teixeira
By Marcelo Teixeira
SAO PAULO, Oct 28 (Reuters) – Chinese language commodities dealer COFCO Worldwide CNCOF.UL is investing in its cane processing crops in Brazil to develop ethanol manufacturing, because it expects that subsequent season the gasoline will once more give higher returns than sugar.
COFCO is constructing new distillation columns and tanks at three of its 4 crops in Brazil, to extend ethanol capability, the corporate’s world head of soppy commodities Marcelo de Andrade informed reporters throughout the sidelines of Datagro 2019 Worldwide Convention on Sugar and Ethanol.
The funding signifies the Chinese language dealer doesn’t see any important enchancment on sugar costs within the quick time period, betting ethanol will nonetheless generate extra income for Brazil-based mills, because it has for the final two seasons.
“The outlook continues to be favorable to ethanol. The sugar market is flattened, there’s an excessive amount of sugar in India,” Andrade mentioned.
He mentioned the sugar…