Due to a sell-off on World Markets, raw sugar has fallen in price to the lowest level in almost two years. This is reported by Bloomberg, reports UNN.
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It is noted that the value of contracts fell by 2.5% to 17.64 dollar cents per 0.45 kg, which is the lowest figure since October 2022.
Brazil, the world's largest sugar producer, exported about 20 million tons of sugar from the beginning of the year to July, which is 40% more than in the previous year.
The publication notes that the rate of exports may stop from November to December or even earlier if the rainy season starts on time in October.
Analysts also admit that the sugar market may still be under pressure from Brazilian spot volumes and funds ' decision to hold short positions.
However, it is expected that the monsoon rainy season in India, the second largest producer of raw sugar, will contribute to an increase in its production.