According to Mr.Gurdev Gill – Agricultural Options Broker at Marex Spectron, Mexican sugar production lowered from 5.7 to 5.2 in yesterday’s WASDE report, It does not come as a surprise to Marex Spectron as they have been suggesting a reduction towards 5.3. gave the whites a boost, arguably US may need to increase white imports and as they saw on the H0 it was tight and suggestions are K0 could be similar with 4 weeks to expiry. Pakistan sugar production is still expected at 4.8m mt vs 5.2-5.4m mt last year. Gill suggests that imports are a must in Q3 and will have more clarity once Marex Spectron have production figures by end of March. The government there recently stopped hoarding and domestic prices are easing. Should production be higher imports may be reduced especially if Pakistan mills start one month earlier than usual (Nov I/O Dec). Gill added, sell any rally towards 13.20/13.50 area – buy V0 puts
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