US ethanol exports in January totaled 326 million liters (86 million gallons), the highest monthly volume since December 2011, according to US Census Bureau data released late Friday.
Exports are up 36% month on month and up 33% from January 2013. The volume is also a new record for January.
The data includes all ethanol types except for beverage use.
The increase in ethanol exports was expected, ignited by lower ethanol prices as production increased with lower feedstock prices.
The majority of the US ethanol exports left the country classified as undenatured ethanol for fuel use at a total of 189.6 million liters. The main destination was Brazil with 90.6 million liters.
In Brazil, soaring demand and increasing concerns with the 2014-15 sugarcane harvest and a possible late start to the season are supporting higher domestic prices and have prompted imports on fears of shortage.
The other main destinations of US undenatured fuel ethanol in January were India (40.6 million liters) and the Philippines (20.6 million liters).
For denatured ethanol exports for fuel use, a total of 121.7 million liters were exported in January with Canada the top destination with 70.2 million liters and the United Arab Emirates next with 35.5 million liters.
Although US ethanol exports are forecast to be stronger in 2014 the recent spike of spot prices due to logistics constraints and tight supply availability should cap the amount of product sent abroad.
In addition, import cargoes coming from Guatemala and Brazil have been reported booked to the US over the past few weeks.
Additionally, exports out of Europe have recently gained traction due to record-low prices in the region with deals confirmed booked to Canada, the Philippines and the Middle East, traditional export destinations of US product.
