The USDA’s Foreign Agricultural Service (FAS) has projected that Thailand’s sugar production for the 2023/24 season will be 9.4 million metric tons, marking a 15% decrease compared to the previous year.
Sugar prices rose on Thursday, as concerns about smaller global output sparked short-covering in futures contracts.
Sugar had been facing downward pressure over the past week, hitting a five-week low on Wednesday due to signs of increased sugar production in Brazil. According to the latest data from Unica, Brazil’s Center-South sugar output in the first half of September increased by 8.5% year-on-year, reaching 3.12 million metric tons. Additionally, sugar output for the 2023/24 crop year through mid-September surged by 18.7% year-on-year to 29.258 million metric tons. This year, 49.37% of crushed sugarcane was allocated for sugar production, up from 45.47% in the previous year.
