China's sugar production forecast at 6-year low due to drought

Published 2023년 3월 20일

Tridge summary

Southwest China's sugar production is projected to decrease by 12% in the 2022/23 season due to depleting sugarcane supplies and drought damage, reaching its lowest level in five years. The country's overall sugar production is now expected to be 9.17 million tons, down from the previous estimate of 9.52 million tons. This is partly due to reduced forecasts from major producers like Thailand and India, leading to global sugar prices hitting multi-year highs. In contrast, US sugar production has seen a rebound. Meanwhile, Brazil's sugar production in the South-Central region for the 2023/24 crop year is estimated to increase, with 48% of cane expected to be distributed for sugar production, up from the previous season.

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Original content

Green Pool forecasts that sugar production in Southwest China in the 2022/23 season will drop 12% from the previous season to 5.4 million tonnes, the lowest since 2016/17 (five years). ,3 million tons). This shows that the supply of sugarcane is gradually depleting. Local farmers say that some of the sugarcane harvested at the end of the season has suffered considerable damage due to drought. In general, the country's sugar output will only reach 9.17 million tons, down from the previous estimate of 9.52 million tons. In the first week of March 2023, China's Ministry of Agriculture also reduced the country's sugarcane output forecast to 9.3 million tons, a loss of 7.2%. The cuts, on anticipation of lower output at major producers Thailand and India, pushed global sugar prices to multi-year highs. China is the world's second largest sugar consumer after India and depends on imports to meet its demand of about 15 million tons per year. However, high global sugar prices have ...

Source: Vinanet