Global surplus pressures sugar prices in the market

Raw sugar began 2025 quoted at 19.5 cents per pound, reaching a peak in February, amid unfavorable prospects for the 2024/25 crop in India and concerns about production in Brazil's Center-South region in 2025/26. However, prices retreated as Brazilian production proved more resilient. Market intelligence coordinator at Hedgepoint, Lívea Coda, stated that "despite challenges, such as lower-than-expected cane productivity and quality, Brazilian milling is expected to exceed 600 million tons, a solid result compared to previous crops, especially when combined with a record sugar mix." According to Coda, "this result, along with favorable conditions for the 2025/26 crop in the Northern Hemisphere, led to a market adjustment. Prices stabilized around 16.5 cents per pound, reflecting expectations of increased supply compared to previous crops. However, persistent global demand for sugar prevented prices from remaining at the June low of 15.5 cents per pound." The analyst highlighted ...