European sugar prices collapse to 3-year low

Speculators have also built up their biggest short position in New York sugar futures since 2019. European sugar producers’ financial results have worsened. Tereos’ April-June revenue fell 25% to €1.2 billion, while EBITDA fell 79% to €56 million. The company recorded an operating loss of 22 million euros, net debt rose to 2.27 billion euros. At Südzucker, operating profit in the first financial quarter fell by 85% to 22 million euros, the sugar division received an operating loss of 56 million euros and expects a loss of up to 200 million euros for the year, despite the forecast rebound in prices in the second half. Cristal Union reported a 62% drop in net profit to 117 million euros and warned of “significantly worse” market conditions. Against the background of a decline in indicators since the beginning of the year, five sugar factories have already closed in Europe, and the number of operating enterprises has decreased to 83. Beet crops are also decreasing, according to ...