Morning Call Jul 17th, 2026

NY October 2026 raw sugar contract fell 41 points to US$ 14.44 c/lb, pressured by improved monsoon rains in India, with the cumulative precipitation deficit narrowing from 42% to 23%.
 

CS Brazil: producer ethanol market remains sluggish this week, keeping downward pressure on prices despite the approval of the temporary E32 mandatory blend increase.
 

CS Brazil: distributors continue to make only spot purchases, while ample supply from mills and cash flow needs at some units are leading to gradual price concessions.
 

CS Brazil: in São Paulo, hydrous ethanol for producers averaged R$ 2.1069/liter, down 3.4% WoW, while anhydrous ethanol reached R$ 2.4078/liter, down 4.3% WoW, both PVU/PVD, net of taxes.
 

CS Brazil: in Paulínia (SP), the CIF price of hydrous ethanol reached R$ 2.2347/liter, excluding taxes, down 2.4% WoW, according to the DATAGRO Price Reporting Agency (PRA).
 

CS Brazil: on an equivalent basis, hydrous ethanol reached US$13.46 c/lb FOB Santos on July 16 (Ribeirão Preto basis), while VHP sugar for export reached US$ 14.63 c/lb FOB Santos.
 

CS Brazil: the VHP/Hydrous spread in São Paulo widened to 117 points, up from 56 points on June 30.
 

CS Brazil: a similar trend was observed in Goiás, where the spread increased from 6 to 32 points; in Mato Grosso do Sul, from 31 to 58 points; and in Minas Gerais, from 33 to 58 points.
 

London #5: according to preliminary data, the delivery of white sugar against August 2026 contract totaled 5,861 lots, or 293.05 k mt. On its last trading day, August 2026 white sugar declined 1.3% to US$ 443.50/mt.
 

Australia: sugarcane crushing in the 2026/27 season reached 3.834 mmt through July 5 (-1.8% YoY), while raw sugar production totaled 528.2 k mt (+7.1% YoY).
 

India: Oil Marketing Companies (OMCs) received 7.170 billion liters of ethanol through the end of June, out of the 10.480 billion liters contracted for the current season, equivalent to 68.4% of the target.
 

India: of the total, 4.800 billion liters (66.9%) were produced from grains, while sugarcane-based feedstocks accounted for 2.380 billion liters (33.2%).
 

Thailand: over the coming days, rainfall is expected to be more uneven across the main sugarcane-producing regions, with accumulations ranging from 20 mm to 60 mm.
 

Thailand: between late July and early August, rainfall is forecast to remain close to the climatological average, maintaining favorable conditions for sugarcane development.