Korean spot values for B-grade ethanol dipped slightly to 495USD/m3, with the market still maintaining a wide bid/offer standoff between 490USD/m3 and 510USD/m3. Spot prices for B-grade ethanol fob Santos Brazil, Korea’s main import source, have fallen to 415USD/m3. Despite this price weakness, the short term supply of B-grade ethanol into South Korea is struggling. Pakistani supply is down due to a poor sugar harvest this year which has cut production. Brazilian sellers meanwhile are unable to step in to cover immediate shorts due to the long lead on South American delivery times. Yesterday’s DoE report showed [embeddoc url=”http://prima-markets.com/wp-content/uploads/2015/08/Daily-PRIMA-Asian-Ethanol-Report-20082015.pdf” viewer=”google”]ethanol production in the US sitting flat at 965t bbl/d (153.5t m3/d), with a slight build in stocks of 0.2%. Problems with loading delays in Houston appear to be improving slightly, with US-Korea freight falling $5 to 55USD/m3. South Korean imports of denatured ethanol jumped 18% YoY in July, with imports of denatured ethanol from the US increasing 26%.