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GLOBAL: Sugar prices rise on potential harvest delay

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The Food and Agriculture Organisation (FAO) sugar price index rose by 2.3% in January as the market reacted to fears of a delayed harvest in Brazil.

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The index reached 334 points for the month, albeit 20% lower than in January last year, the FAO said last week. The price rise was driven by unfavourable weather conditions in Brazil, prompting the possibility of a delayed harvest that could cut total production, it said.

The FAO added: "On the other hand, large production harvests in India, the EU, Thailand and the Russian Federation contained the recent price increase."

In December, global sugar prices dropped back for the fifth consecutive month as a result of an expected global production surplus.


Sectors: Soft drinks, Water

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