
Brazil plans to commission seven new corn ethanol plants in 2027 and 12 more in 2028, potentially adding more than 2 billion liters of annual capacity. Corn ethanol output rose 6% in 2026/27, and the expected expansion alongside a potentially large sugarcane crush could push ethanol prices toward production costs in 2027/28.
More ethanol capacity increases demand for corn as a feedstock, but the resulting fuel supply growth could pressure ethanol prices and plant margins. Stronger corn use for fuel may support domestic corn demand.
After 318 past bullish policy events, Corn moved a median -0.1% over 5 sessions (48% higher; middle half -1.4% to +1.5%), and -0.2% 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.