
Brazilian ethanol production is forecast to rise 10% to a record 46.3 billion litres in 2027/28, while domestic consumption is projected to grow 6% to 41.2 billion litres. Record Center-South sugarcane crushing and seven new corn-ethanol plants are expected to expand supply, potentially leaving ethanol prices below production costs for several months.
Expanding corn-based ethanol capacity could lift Brazilian corn demand, but the broader ethanol surplus is expected to pressure ethanol prices and producer margins. Cane allocation between sugar and ethanol may adjust as mills respond to those prices.
After 1,040 past bullish report events, Corn moved a median +0.5% over 5 sessions (62% higher; middle half -0.9% to +2.0%), and +0.8% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.