Drought in parts of Brazilian main center-south sugarcane belt should reduce yields in the 2004/05 crop, the Sao Paulo Cane Agroindustry Union (Unica) forecast on Tuesday.
Unica technical director Antonio Padua Rodrigues said rainfall in two important cane-producing areas - the Presidente Prudente region of Parana state and the Aracatuba area of Sao Paulo state - was about one-third the average in January and February.
Rodrigues added that yields were expected to fall to 82 tonnes of cane per hectare from 85 tonnes last season.
"There is growth in output due to increased area, but it is still too early to give a number," Rodrigues said.
Unica's first forecast of the 2004/05 center-south crop should be announced sometime later in March.
Industry sources in late February estimated the crop at 310 million to 320 million tonnes, up from the 298 million tonnes in 2003/04.
Rodrigues added that dry weather and weak prices will probably delay the beginning of harvest until May, unlike last season when favourable rain allowed the cane harvest to start ahead of schedule in April.
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