If Brazil is indeed in danger of falling short of meeting its domestic ethanol demand, it's likely that more of the country's sugar crop will be diverted into ethanol production. As a result, Brazil may raise the percentage of harvested sugar that is diverted towards fuel from 48 to 49 percent this year.
Unless you're a sugar trader, these facts or figures won't send you into any sort of scare. What does make the article interesting to us, though, is that Brazil is now at a near 50/50 food/fuel balance which is often a sort of mental tipping point. If the trend of ethanol demand continues to rise, the balance will for the first time be shifted towards fuel. Just some food for thought.