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GLD 379.87+0.4%Nov 11 4:00 PM EST

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To: energyplay who wrote (6428)5/15/2006 1:54:13 PM
From: elmatador  Read Replies (1) of 217705
 
49% of the orange crops have been converted into sugar cane plantations.

Sugar cane 'eating' into oranges!!

Brazil: Cutrale invests $ 50 mln. to fight expansion sugar cane

Den Bosch – The Brazilian mega company Cutrale, responsible for 30% of the orange juice export of Brazil, has decided to invest against the growing threat of orange orchards being converted to sugar cane plantations.

The big growers can find financing to maintain their crops. The small ones, however, cannot afford it. Figures from the Institute of Agricultural Economy (IEA) have shown that 49% of the orange crops have been converted into sugar cane plantations. Cutrale is afraid that if nothing happens, the company will face many problems concerning the orange supply in the next years.

Cutrale wants to use USD 50 million to renew the trees in the small crops. However, the organization is not intending to pay the whole investment itself: they may finance up to USD 25 million but the rest will have
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