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Brazil's surge in sugar production puts ICE sugar prices under pressure
ICE No. 11 crude sugar futures fell on Wednesdaypokermultiplayer, benchmark contracts fell by 1.1pokermultiplayer.17%, the fifth decline in six consecutive trading days. The price decline was mainly affected by the strong growth of Brazilian sugar production. According to the Brazilian Sugarcane Industry Association (UNICA), sugar production in central and southern Brazil reached 1.84 million tons in the second half of April, a year-on-year increase of 84%, far exceeding the market expectation of a 50% growth. Although the market supply is currently sufficient, the industry is still divided on expectations for Brazilian sugar production in the second half of the year.
A broker in the United States pointed out that the current dry weather is conducive to sugarcane harvesting and processing, but there are still questions about the amount of sugarcane remaining in the second half of the year. Analysts believe that strong growth in Brazil's production has an impact on sugar prices.pokermultiplayerSignificant pressure.