Sugar-Cane Output Estimate for Brazil Center South Cut by Archer

Sugar-cane output in the main growing region in Brazil, the world’s largest producer of the sweetener, will be lower than previously forecast for the current season, according to Archer Consulting.

Cane production in the center south of Brazil will total 502 million metric tons in 2012-13, below the prior 508 million- ton estimate, Arnaldo Luiz Correa, a director at the Sao Paulo- based company, said in a report e-mailed July 14. The estimate was Archer’s fifth for the crop. Output in the 2011-12 season fell for the first time in a decade to 493.3 million tons, according to data from industry group Unica.

Millers in the region will produce 32.13 million tons of sugar, below a previous forecast of 32.51 million tons, according to Archer. The area’s sugar output was 31.3 million tons in 2011-12, Unica data show.

Ethanol production may be 20.6 billion liters (78 billion gallons), down from a previous forecast of 21.2 billion liters, Archer said. Millers in center south produced 20.5 billion liters of the biofuel last season, according to Unica.

To contact the reporter on this story: Isis Almeida in London at ialmeida3@bloomberg.net

To contact the editor responsible for this story: Claudia Carpenter at ccarpenter@bloomberg.net.

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