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27/05/2009 - SUGAR ONLINE
BRAZIL: 2009/10 centre-south cane crush seen at 550 million tonnes

JOB Economia says Brazil´s main centre-south sugarcane crush should rise 10% to 550 million metric tons in 2009/10 compared to 2008/09, according to Dow Jones.

The increase in the crush of 50 million tonnes is due to mills producing more cane than they can crush in the normal harvest season, Julio Borges, an economist at JOB Economia, said Tuesday.  But if the weather permits, they will be able to crush more, Borges said.

The 2009/10 centre-south sugarcane crop is in the early stages of harvesting. The harvest should run until around December.

The estimate is in line with Brazil´s Sugarcane Industries Association, or UNICA, that recently pegged Brazil´s centre-south sugarcane crush at 550 million tonnes.

Around 20-40 million tonnes of cane should remain in the fields at the end of the season, JOB Economia said. 

JOB Economia said Brazil´s northeastern region´s cane crush should rise 6% to 70 million tonnes in the 2009/10 crop season versus 2008/09. Brazil should crush 620 million tonnes in total.

 JOB Economia said that Brazil should produce 35.3 million tonnes of sugar in 2009/10. Of the total, the center south region will produce 30.30 million tonnes and the Northeast 5 million tonnes. 

Brazil should export 25.2 million tonnes of sugar in 2009/10. Export growth is restricted to 3.9 million tonnes because of Brazil´s logistics struggling capacity, especially in the ports.

 JOB Economia said that Brazil should produce 29.2 billion litres of ethanol in 2009/10. The centre-south region will account for 26.8 billion litres and the Northeast will account for 2.4 billion litres.

Of the total, Brazil´s domestic consumption will rise 3.3 billion litres compared to last year as more flex-fuel cars use ethanol, he said.

Brazil will also export 3.6 billion litres of ethanol down 1 million litres from last year  due to restrictions of the fuel going direct to the US.

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