After Impasses, Orplana and Unica Reach Agreement and Renew Consecana-SP Bases

Last Friday, March 3rd, the Brazilian Sugarcane Industry Association (Unica) and the Organization of Sugarcane Growers Associations of Brazil (Orplana) signed a Memorandum of Understanding (MoU) concerning Consecana-SP, which serves as the primary reference for sugarcane pricing in São Paulo state. According to a note released by both institutions, the agreement is centered on two main pillars: the full implementation of the technical and economic review of the model, based on the work developed by the Getúlio Vargas Foundation's agribusiness study center (FGV Agro), and the modernization of Consecana-SP's governance, aiming for more stable rules for the entire supply chain. Roberto Cestari, Chairman of Orplana's Board, stated in the note, “Orplana has always advocated for technical rigor and parity governance. This MoU honors these two principles and ushers in a promising new cycle for the sector.” Furthermore, the document indicates that the technical-economic criteria will be updated, and the representation of both the industry and producers in sectoral decisions will be strengthened, “consolidating the participation of sugarcane producers in a model that already belongs to them.” However, the entities did not disclose specific values or detailed information regarding the terms of Consecana's revision. The formal signing ceremony is scheduled to take place at the third edition of the Cana Summit, an event promoted by Orplana. This event, which celebrates the entity's 50th anniversary, will be held in Ribeirão Preto (SP) on April 15th and 16th. Cestari added, “This agreement represents the maturity of our industry…”