On Friday, sugar futures witnessed sharp decline in the New York and London markets
The decline followed news of sugar crops in Asia performing better than anticipated.
In New York, the primary raw sugar contract experienced a 2.77% drop, concluding at 21.09 cents per pound. Its range for the day fluctuated between 21.88 and 20.96 cents. Similarly, in London, the main contract saw a decrease of 2.03%, settling at $602.60 per ton.
According to Wilmar, a commodities trader based in Singapore, Sugar crops in India and Thailand are showing promising signs in the final stages of sugarcane harvesting, indicating a rise in sugar supplies in the region.
Karim Salamon, head of sugar analysis at Wilmar, stated in remarks provided to Reuters, “Thailand tail crop is much better than expected.”
He expects Thailand to produce between 8.5 and 9 million tons, topping estimates by over a million tons.
India might also beat expectations. Its output could surpass 32.5 million tons, potentially reaching 33 million, mirroring last year’s production.
