World: Where will sugar prices go after nearing a 12-year peak?

Published 2023년 4월 30일

Tridge summary

Raw sugar prices have reached their highest level since September 2011, at 26.6 cents/lb, due to increased costs and lower production in major producing countries like India, Thailand, China, and Pakistan. The reduction in sugar production, along with political uncertainties, has led hedge funds to increase their short buying, contributing to the rise in prices. Factors such as inefficient European sugar beet crops, severe summer droughts, and the risk of El Nino weather in Asia may further drive prices up. The lower production and higher prices are expected to impact the costs of confectionery, beverages, and processed food globally.

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

Original content

The rally in sugar prices is not over yet According to data from Investing, as of April 26, raw sugar prices rose to 26.6 cents/lb, the highest level since September 2011. Data: Investing (Aggregate US) According to CNBC, Girish Chhimwal, sugar analyst at S&P, said: “The fundamentals for the sugar industry are quite upbeat so prices will remain high. in the short and medium term”. The inflated cost can be passed on to consumers in the form of more expensive confectionery prices. John Stansfield, senior sugar analyst at commodity data platform DNEXT, said: “The price of confectionery and beverages will increase with the price of sugar. Processed food prices are rising globally. In a chocolate bar, you have milk, cocoa powder… and these costs also add up. The cost of energy and labor to manufacture these products is also increasing.” Concerns about output Talking to the writer, Mr. Nguyen Van Loc, Chairman of the Vietnam Sugar Association (VSSA) said that the world sugar price ...

Source: Vinanet