Loading...
SUGAR REPORT | 05.10.2022 | MARKET NEWS | SEBAT GROUP

SUGAR REPORT | 05.10.2022 | MARKET NEWS

Barchart - Sugar prices Tuesday rallied sharply, with NY sugar posting a 1-1/2 week high and London sugar posting a 1-week high.  A rally in crude prices (CLX22) Tuesday to a 2-1/2 week high underpinned sugar prices.  Higher crude prices benefit ethanol and may prompt Brazil's sugar mills to divert more cane crushing toward ethanol production rather than sugar, thus curbing sugar supplies.  

A bullish factor for sugar is a decline in Brazil's Center-South sugar output.  Unica reported last Tuesday that Center-South sugar output in the 2022/23 marketing year through mid-Sep was down -8.4% y/y to 24.634 MMT.  Also, Conab, on August 19, cut its estimate for the 2022/23 Brazil sugar crop to 33.9 MMT from an April forecast of 40.3 MMT, citing lower plantings and falling sugar cane yields.



contact us