BofA forecasts global sugar surplus of 650,000 tonnes

Published 2024년 9월 24일

Tridge summary

Thailand's sugar output has dropped by 20.37% to 8.8 million tonnes for the 2023/24 season but is projected to increase by 18% next season. Brazil, the top global sugar producer, is experiencing reduced sugarcane crushing due to dry weather and forest fires, which may affect future production. Bank of America Global Research predicts a small global sugar surplus, with potential deficits if India shifts sugar to ethanol production. Additionally, Brazil's coffee production has declined due to adverse weather conditions. Raw sugar prices have risen, with October 2024 futures closing at 19.98 US cents per pound.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Virit Viseshsinth, head of the Office of the Cane and Sugar Board (OCSB), said the country's sugar output has fallen 20.37% in the 2023/24 season to 8.8 million tonnes. Thailand is the world's second-largest sugar exporter. It is expected to produce 10.39 million tonnes next season, up 18% from the current season. Domestic consumption is expected to be around 2.5 million tonnes, with the remainder exported. Brazil is the world's largest sugar producer and exporter. Bank of America Global Research said that sugarcane crushing in Brazil was lower than expected, while there are also risks to sugarcane crushing volumes in the 2025/26 season due to dry weather and severe forest fires in Sao Paulo state. The fires have destroyed fields producing about 1.7 million tons of sugarcane for Tereos. Pierre Santoul, CEO of Tereos in Brazil, noted that these impacts will last into the next 2025/26 season. Combined with prolonged dry weather, next year's crop could be even worse. The fires ...

Source: Vinanet