The Ulsan B-grade market was bid low on Tuesday at 440USD/m3 FOB for October, although was short on offers to meet these with much of the market out due to a national holiday in Japan. Some sellers put forward offers for November and December shipments which are sitting at 465USD/m3 CFR.
Brazilian B-grade prices shifting upwards, sitting at 405USD/m3 for October and November shipments, and slightly higher at 410USD/m3 for December, despite a further fall in the Brazilian Real against the US dollar and anhydrous prices falling to 430USD/m3.
Forecasted drought during the next harvesting season in the Philippines could have an effect on ethanol production, possibly seeing prices for domestic feedstock and production increase even further. Pakistani producers continue to eye up opportunities to export to China, but are also fearful that drought into next year may affect production capacity, and prices may become more competitive as US fuel ethanol producers look towards export opportunities into China.