September 20th, 2013 – Cane fields in the state of Sao Paulo remain heterogeneous, with Presidente Prudente and Araçatuba micro regions displaying regular conditions and the other 4 regions (Ribeirao Preto, Bauru, Piracicaba e Sao José do Rio Preto) in good state, as observed by the DATAGRO Crop Survey team. In general, agricultural yield has increased and industrial yield decreased compared to last crop.

Vegetative sprouting has decreased thanks to the drop in rainfall, meanwhile TRS levels have consistently increased. However, it is important to point that although TRS levels are increasing, they are still below expected. For instance, in August 2012, five out of the six regions analyzed had TRS levels higher than 140 kg/tc. This season, only two regions presented TRS above 140 kg/tc in the same month. This is due to elevated levels of rain in June and July, water storage in the soil and floral induction in cane fields.

Between the second half of August and the first fifteen days of September the weather was very dry and without occurrence of significant precipitation, which allowed mills to recover from the delayed schedule of planting and harvesting operations. As predicted, winter planting was completed as scheduled, and now mills wait for an increase in rainfall to initiate 12 month planting.

The Bauru and Piracicaba micro regions are suffering with Sphenophorus levis infestation. The plague reached concerning levels during last August. The beetle shows up soon after the harvest, when there are chunks of cane fermenting on the field, and it digs galleries in the ratoons. DATAGRO Crop team also observed borer infestation in 3% to 4,5% of the cane fields of the Sao Paulo state.

Production mix is prioritizing ethanol, directing 55.58% of the total sucrose supply of the crop to the production of the biofuel. DATAGRO estimates the 2013/14 crop will end with a production mix of 54.7%, due to recent appreciation of the US dollar against the Real, which increases attractiveness of exportation of sugar and ethanol.