Sugar & Stevia

[winston]

Prepare for a Crash in This Commodity

by Chris Igou

Sugar prices are up 69% over the last year.

Now, bullish bets are hovering around all-time highs.

These folks tend to get it wrong when they make extreme bets like we’re seeing today. Similar bullish cases in this commodity have led to devastating losses.

With bullish sentiment near all-time highs, sugar could be on the verge of collapse. And that makes it a commodity to avoid for now.

Source: DailyWealth.com

https://dailytradealert.com/2021/09/03/ ... commodity/

[winston]

Global sugar market grateful for India supply, once viewed as a threat

SAO PAULO/NEW YORK: India may be the only country able to fill a looming global supply gap for sugar as the Brazilian crop ends, making the world's sugar market grateful for the Asian country that was once viewed as a threat to the market's stability.

"Without India filling this gap, from November to March or April, the global sugar market would have a serious problem," said Paulo Roberto de Souza, the Chief Executive of Alvean Sugar SL, the world's largest sugar trader.

India's sugar policies, which include large subsidies, have been questioned for years at the World Trade Organization by competitors including Brazil and Australia.

In an interview, Souza said sugar buying is about to increase even as the drought-hit crop in top grower Brazil winds down and costs for the commodity, as well as for ocean freight, have increased sharply.

Sugar prices are near their highest since early 2017 mainly due to poor production in top grower Brazil following drought and frosts.

"The fields have suffered a lot and it seems we will have La Nina next year, which means less rain in the center-south," Souza said.

Alvean projects the global supply deficit to nearly double in 2021/22 (Oct-Sept) from the previous year to up to 6 million tonnes, while it sees global sugar use growing 1.2% in 2021/22 from 0.7% in the previous season as countries further reopen after the pandemic.

He says Indian sugar export parity -- the equivalent to domestic prices -- is currently around 21 cents per pound, already above New York futures.

Source: Reuters

https://www.thestar.com.my/business/bus ... s-a-threat

[winston]

Global sugar market grateful for India supply, once viewed as a threat

SAO PAULO/NEW YORK: India may be the only country able to fill a looming global supply gap for sugar as the Brazilian crop ends, making the world's sugar market grateful for the Asian country that was once viewed as a threat to the market's stability.

"Without India filling this gap, from November to March or April, the global sugar market would have a serious problem," said Paulo Roberto de Souza, the Chief Executive of Alvean Sugar SL, the world's largest sugar trader.

India's sugar policies, which include large subsidies, have been questioned for years at the World Trade Organization by competitors including Brazil and Australia.

In an interview, Souza said sugar buying is about to increase even as the drought-hit crop in top grower Brazil winds down and costs for the commodity, as well as for ocean freight, have increased sharply.

Sugar prices are near their highest since early 2017 mainly due to poor production in top grower Brazil following drought and frosts.

"The fields have suffered a lot and it seems we will have La Nina next year, which means less rain in the center-south," Souza said.

Alvean projects the global supply deficit to nearly double in 2021/22 (Oct-Sept) from the previous year to up to 6 million tonnes, while it sees global sugar use growing 1.2% in 2021/22 from 0.7% in the previous season as countries further reopen after the pandemic.

He says Indian sugar export parity -- the equivalent to domestic prices -- is currently around 21 cents per pound, already above New York futures.

Source: Reuters

https://www.thestar.com.my/business/bus ... s-a-threat

[winston]

Sugar Falls on Signs of Ample Supplies as Broader Markets Slump

by Marvin G. Perez

Falling crude oil prices are also signaling that mills in Brazil could switch to making more sugar and less cane-based ethanol.

Source: Bloomberg

https://finance.yahoo.com/news/sugar-fa ... 20010.html

[winston]

Speculators resume bullish bet on sugar as energy prices soar

[NEW YORK] Speculators resumed their bullish bets in raw sugar futures on ICE US, sharply increasing their net long position in the sweetener in the week to March 8 as energy prices soared, data from the Commodity Futures Trading Commission (CFTC) showed on Friday (Mar 11).

Money managers and hedge funds added 63,497 contracts to their net long position in sugar to 99,091 in the period.

Sugar has been tracking gains in oil as higher fuel prices might prompt mills in Brazil to make more ethanol and less sugar.

Source: REUTERS

https://www.businesstimes.com.sg/energy ... rices-soar

[winston]

Sugar

India’s move to restrict sugar exports to safeguard its own food supplies fuelled declines in shares in domestic sweetener makers, while companies in China and Thailand got a boost.

An export halt may lead to higher global prices given that India is the world’s biggest sugar exporter after Brazil.

Wilmar-backed Shree Renuka Sugars is down more than 8% since the measure was announced, while China’s Cofco Sugar Holding and Thailand’s Khon Kaen Sugar Industry Pcl have risen at least 1% each.

Source: Bloomberg

https://www.theedgemarkets.com/article/ ... tectionism

[winston]

India extends curbs on sugar exports by a year through October 2023

by Rajendra Jadhav

India is the world's biggest sugar producer.

India is expected to produce record sugar crop this year, which could allow New Delhi to allow exports of up to eight million tonnes.

Source: Reuters

https://www.theedgemarkets.com/article/ ... tober-2023

[behappyalways]

Sugar Prices Hit Decade High On Global Shortage Fears
https://www.zerohedge.com/commodities/s ... tage-fears

[winston]

India’s Rice Export Ban Sparks Concern That Sugar May Be Next

by Mumbi Gitau and Pratik Parija

Uneven rainfall across India’s agricultural belts has stoked concern that sugar production will fall short, potentially dropping for a second straight year in the season starting October.

The government has already restricted overseas sale of wheat and some rice varieties to protect domestic supplies and cool prices.

Meanwhile, India is set to use more sugar for biofuel. The association sees mills diverting 4.5 million tons to make ethanol, up 9.8% from a year earlier.

Source: Bloomberg

https://finance.yahoo.com/news/india-ri ... 00627.html

[winston]

Sugar surges on concerns of India export curb as output drops

By Mumbi Gitau & Pratik Parija

Source: Bloomberg

https://theedgemalaysia.com/node/679921