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Sugar Prices Dip as Global Output Sweetens the Deal

Sugar Prices Dip as Global Output Sweetens the Deal

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This is your Daily Sugar Price Tracker with Vanessa Clark podcast.

Welcome back to the Daily Sugar Price Tracker, I’m Vanessa Clark, bringing you today’s latest news and insights on the commodity market for sugar. Whether you’re a trader, a food manufacturer, or just keeping tabs for your business or home, I’m here to make sure you’re up to speed.

Let’s dive into today’s numbers. As of this afternoon, the spot price for sugar is trading at fifteen point five three cents per pound, according to Trading Economics. That’s a drop of over one point seven percent from yesterday’s close, marking the lowest price since late September. Looking at the big picture, although sugar prices have edged up about one percent this past month, they’re still almost thirty percent lower compared to where they were a year ago. So, if you’re following long-term trends, it’s definitely a bear market for sugar right now.

So, what’s driving these moves? Analysts are pointing to optimism about global production. Covrig Analytics recently forecast a surplus of just over four million metric tons for the twenty twenty-five slash twenty twenty-six season. Meanwhile, BMI says that world sugar output should grow four percent this year, mainly thanks to bumper harvests in India and robust output in Brazil. While demand is ticking up just a little, by around zero point two percent, supply is clearly outpacing consumption this season.

Brazil, the world’s largest sugar producer, continues to impact pricing in a big way. Recent reports indicate that center-south Brazil has ramped up output over seven percent year on year, and sugarcane crushing is up more than three percent compared to last season. For European markets, Suedzucker—Europe’s largest producer—reported an eighty-two percent drop in quarterly earnings, with average sugar prices in the EU falling from seven hundred seventy-five euros per ton last year to five hundred thirty-four euros per ton this July.

If you’re a buyer, there may be opportunities ahead with supply projections signaling possible further price weakness. For producers, the focus might shift to managing costs and watching for signs of demand recovery, as oversupply could keep profits under pressure in the coming months.

Now, if you’re wondering how this affects food and beverage manufacturers or even cosmetics, the trend toward organic raw cane sugar is picking up, especially among producers catering to health-conscious consumers. This segment is not only experiencing growth, but also premium pricing because of its lower cholesterol and sodium qualities. So, watch out for developments in the organic and specialty sugar market as well.

Alright, that wraps up today’s sugar market update. I hope you found these insights helpful for your trading decisions or your industry analysis. Thanks for tuning in to Daily Sugar Price Tracker. Be sure to subscribe so you never miss an update, and join me next time for the latest news and practical tips. Have a sweet day!

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