Sugar production will return to the annual average level — Expert

20.08.2018

Within  the framework of «Sugar Trade and Export 2018» Conference, which will be held on August 30 in Kyiv, the head of the analytical service «Sucden» (CIS) Maryna Sidak will comment the situation on the sugar market in the CIS countries.

According to her forecasts, in MY 2018/2019, global sugar production will return to the annual average level, and Brazil will switch to ethanol: «World sugar production will drop to 182 million tonnes, as Brazil, Pakistan and the European Union more than compensate record yields in India and Thailand».

In addition, the analyst noted that during the last year, sugar exports from European countries significantly increased, but their growth was limited by the cheaper sugar supplies from the countries of the Black Sea region:

«After the quotas abolition in the fall of 2017, the EU countries increased the ​​sugar beet areas and produced the record amount of sugar in MY 2017/2018. However, the volume of European sugar exports, despite their significant growth in the reporting period, did not meet the expectations of the market due to increased competition with the countries of the Black Sea (Russia and Ukraine), whose markets are also in high production and low prices» — commented Maryna Sidak.

Even taking into account all the key factors, the fundamental prospect of the new season of MY 2018/2019 remains difficult. What do we expect from the new season? This and other questions will be discussed on August 30 at the panel discussion with the participation of sugar market experts from leading international trading companies: Sucden, Louis Dreyfus, Ed&F Man, and others.

 

ukrsugar
 

Readers choice: TOP-5 articles of the month by UkrAgroConsult