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In 2023, sugar prices increased by more than 5% and were close to 3500 levels. The decline in India's sugar output was one of the major factors influencing this upward trend. The Indian Sugar Mills Association (ISMA) has reduced its forecast for India's sugar production in CY22/23 to 32.7 million metric tonnes (MMT), down from an output of 35.76 MMT the previous year.
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In 2023, Sugar Prices See An Increase Of Over 5% In 2023, Sugar Prices See An Increase Of Over 5% Several fundamental factors have caused a significant volatility in sugar price trends. This restriction on Indian exports may raise prices globally and open up a market for Brazil, the world's top producer to increase sugar sales on the global market. Sugar Price Hike Sugar Price Hike In 2023, sugar prices increased by more than 5% and were close to 3500 levels. The decline in India's sugar output was one of the major factors influencing this upward trend. The Indian Sugar Mills Association (ISMA) has reduced its forecast for India's sugar production in CY22/23 to 32.7 million metric tonnes (MMT), down from an output of 35.76 MMT the previous year. India's sugar production had already decreased by 8% as of May 31 to 32.24 MMT from 35.19 MMT during the same period last year. Additionally, compared to last year's 7 MMT, the estimated sugar stocks at the end of the calendar year 2022/23 are much lower at 1 MMT. Sugar prices have risen as a result of these reductions in production and stockpiles. The International Sugar Organization's (ISO) updated prediction of the surplus in the world's sugar supply for the 2022–2023 season is another important factor influencing the trend in sugar prices. ISO cut its previous estimate of 4.15 MMT of surplus sugar production to just 850,000 tonnes.
Sugar Productions Estimates Sugar Productions Estimates Lower production forecasts in important regions like Europe, China, Thailand, and India were the basis for this adjustment. The sugar production forecast in the US has also been modified by the Department of Agriculture (USDA), which has changed the price trend. For the 2023–2024 season, the USDA revised its prediction for the sugar stock–to–use ratio downward, to 10.6% from 11.3%. Lower estimates of the nation's sugar production were the reason for this adjustment. The USDA has decreased its previous projection of 9.22 million short tons (ST) of US sugar production for 2023–2024 to 9.12 million ST. India’s Sugar Export Policy India’s Sugar Export Policy The sugar exports from India have also influenced the price trend. Indian mills have exported all 6.1 million tonnes of sugar that were permitted for export, taking advantage of multi-year high prices and robust demand on the international market. It is unlikely that more exports will be allowed in the current marketing year, which ends on September 30, due to a potential decline in production. In conclusion, a number of variables, including decreased sugar production in India, revised estimates of the global supply surplus, revisions to the estimates of US sugar production, and the effect of Indian sugar exports, have all had an impact on the sugar price trend. These fundamental elements have pushed sugar prices higher, creating both opportunities and challenges for market participants. If you are a sugar importer wishing to Buy Sugar In Bulk or a Sugar Exporter willing to export bulk sugar, then Tradologie.com is the right platform for you. Tradologie is a Software as a Service platform that facilitates bulk agro-trade across the globe. Through Tradologie’s interface, buyers can avail the best qualities of agro-commodities at negotiable rates. The transaction-oriented platform has 600,000+ verified buyers and about 70,000+ registered sellers of agro-commodities from over 150 countries. To register as a buyer, click here. To register as a seller, click here. To stay updated with the latest happenings in the agro-trade industry, follow Tradologie.com across all social media channels.
