Bearish
Sugar futures decline below 15 cents amid ample supply and weak demand
Sugar futures have fallen below 15 cents per pound due to robust sugarcane crushing in Brazil and muted demand. Despite India's ongoing export ban, the market remains pressured by abundant global supplies.
Key points
- Brazil's Center-South cane region continues to drive global supply, with crushing advancing under firm, dry conditions, allowing mills to maintain a strong production pace.
- India's export ban, effective until at least September 2026, aims to protect domestic availability and support ethanol blending goals, removing a traditionally key supplier from the spot trade.
- The USDA's May WASDE report revised down 2025/26 sugar production due to weak beet sugar recovery, partly offset by higher raw sugar imports, while overall use remained unchanged.
Sources
AI-generated from public news sources. Not financial advice.
