Brazil may cut ethanol mix
Excessive rain has slowed the harvest of sugarcane, reducing supplies. This has led the government to announce it may need to cut the mandatory amount of biofuel mixed in petrol from 25%, as soon as next week.
Above-average rainfall in Brazil’s Centre South, the world’s largest sugar-producing region, impacted harvesting at the end of December and reduced yields. The region’s ethanol production fell 8.3% from a year earlier to 22.2 billion litres in the season that started 1 March.
All petrol sold at pumps in Brazil has to contain 20-25% ethanol by law. About 90% of all new passenger vehicles in the country have flex-fuel engines.