Brazil Cosan says drought to cut 2011/12 cane crush
SAO PAULO, Sept 24
SAO PAULO, Sept 24 (Reuters) - The world's biggest sugar and ethanol group Cosan (CSAN3.SA)(CZZ.N) said on Friday it has revised its 2011/12 cane crush forecast lower to 60-62 million tonnes due to dry weather that has trimmed Brazil's cane yields.
"The estimate for next year was to grow a little bit more because of the two new mills that are coming on stream, but due to the drought, we expect to crush 60-62 million tonnes," Pedro Mizutani, president of Cosan's sugar and ethanol division, told Reuters.
The group's cane crush is expected to total between 60 million and 62 million tonnes, compared with a revised 60 million tonnes this season. At the beginning of the crop, it expected to crush 62 million tonnes.
New York ICE sugar futures SBc1 have climbed from a low of less than 14 cents a pound in May to more than 25 cents a lb on Friday. Sugar futures hit 30-year highs of 30 cents a lb in February on strong demand and tight supply out of India. (Reporting by Inae Riveras; Editing by Marguerita Choy)