On Wednesday, July NY world sugar #11 closed down 0.15 cents (-0.89%) while August London ICE white sugar #5 dropped 5.60 cents (-1.186%). Sugar prices remain above significant lows reached earlier in the week, as the market reacts to forecasts of higher sugar production, particularly in India, which is expected to see a 19% year-over-year increase in production to 35 million metric tons (MMT) for 2025/26.
Globally, sugar production for 2025/26 is projected to rise 4.7% year-over-year, reaching a record 189.318 MMT, with a surplus forecasted at 41.188 MMT, up 7.5% year-over-year. However, Brazil’s output is expected to decline, with projected production for 2024/25 decreasing by 3.4% to 44.118 MMT due to adverse weather conditions impacting sugarcane yields.
