Increasing the supply lowers the price of sugar

Continuing fall in world sugar prices that began in October amid increasing production the main producing countries. In November, the futures of cane sugar in new York fell by 6.3% to 278.6 $/t

In India, which is the second after Brazil, the world's largest sugar producer, started the 2018/19 season,and is already working on half of the plants. Last year the country received a record 32.4 million tonnes of sugar, against the background of increasing production in Brazil collapsed in the summer the price of sugar by 35%.

Caused by excessive rainfall reduced yields of cane of 8-10% will reduce production in India this season to 28.9 million tonnes, which would decrease sugar exports.

In Ukraine as of 13 November, the 40 sugar factories from 9.06 million tonnes of beet and produced 1.2 million tons of sugar. Total production is expected at last year's level of 1.8 million tons In October, the exports of sugar compared to September increased 5 times to 58.3 thousand tons as a whole In the 2018/19 season already exported to 69.4 thousand tons of sugar from the predictable experts "Ukrsakhar" 500-600 thousand tons.

In Russia as of 15 November from 1,089 million hectares, or 98.2% of acreage collected 40.6 million tonnes of sugar beet with a yield of 37.3 t/ha. On this date in 2017 from 1.1 million hectares were collected 47.5 million tons of beets with a yield is 43.02 t/ha.

Reduction of beet harvest may lead to reduction in sugar production. However, in September the production of beet sugar has reached record for that month, 1,474 million tons (2017 – 1,38 million tons), and in October, by estimations IKAR, it amounted to 1,652 million tonnes, which is only 1.8% below the record value in October last year – 1,683 mln tonnes

As of November 12, the sugar production decreased in comparison with the previous season, only 0.9% to 4,119 million tonnes due to the increase of processing capacity, reduction of losses during storage and release of sugar by 5.8% higher than last year.

In September, Russia exported 16.5 thousand tons of sugar, and since the beginning of the year 295,8 thousand tons, while in 2017 the exports amounted to 286.2 thousand tons, in 2016 – 16.8 thousand tons.