On October 6, 2023, sugar prices saw significant increases with October NY world sugar #11 closing at $16.26, up 1.50%, and October London ICE white sugar #5 closing at $469.80, up 1.90%. Concerns over reduced sugar supplies from Brazil, combined with reports from Covrig Analytics indicating that Brazil’s 2025/26 sugarcane production may fall to below 600 million metric tons (MMT) compared to the Brazilian government’s forecast of 663.4 MMT, have contributed to these price fluctuations.
Additionally, Brazil’s Center-South sugar output from mid-July was reported at 15.655 MMT, a decline of 9.2% year-on-year. In contrast, India is expected to increase sugar production significantly, with projections showing a 25% rise to 35.3 MMT for the 2025/26 period due to favorable monsoon rains. This contrast in forecasted production levels is influencing global sugar market trends.
