Wholesale sugar prices in Russia have surpassed minimum values

Published Oct 2, 2023

Tridge summary

Wholesale sugar prices in Russia have been on a downward trend since July, reaching their minimum in early September, which is unusual compared to previous years. Despite dry weather in the South, there are good prospects for a successful sugar beet harvest in Central Russia, with estimates suggesting that favorable conditions could result in a production of up to 6.5 million tons of beet sugar in the 2023/24 season. However, the beet sugar industry faces challenges in becoming more competitive for exports, as well as issues with logistics infrastructure and dependence on imports for key resources.

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

Original content

Since July 12, there has been a general downward trend in wholesale sugar prices in Russia, but, according to the Institute of Agricultural Market Studies (IKAR), the minimum values were probably reached in early September, although previously this more often happened towards the end of the calendar year . Leading expert of ICAR Evgeniy Ivanov spoke about this during the conference “Agroinvestor: PRO crop production”. According to him, in recent years, waves of price increases have usually been observed during periods of weakening of the ruble exchange rate. During the conference, Ivanov also said that this year there are good prospects for the sugar beet harvest, and the dry weather in the South can be compensated by a good harvest in Central Russia. As a result, according to expert estimates, in the 2023/24 season, the production of beet sugar under favorable conditions could reach up to 6.5 million tons (including the processing of syrup and molasses at five factories in the ...

Source: Agro2b