Sugar Price Chart Ukrainian Sugar Is in High Demand on the European Market

Sugar Prices Could Rise Again in Europe

Mintec Global
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In Europe from South America, about 300,000 tons of additional sugar (corresponding to the quality EU cat II) arrive, but only short-term relief will provide. Experts assume that about 1.7 million tons of sugar are still needed in the EU. About 500,000 tons are expected from Ukraine in the coming weeks and months, so there is a demand surplus of over 1 million tons.

When is the price expected to rise?

In the middle of March, the experts continue, the demand for sugar from the beverage industry and other industries, such as beekeepers, will increase significantly since these industries have yet to cover most of the quantities. Likewise, is the demand for sugar in Eastern Europe and especially the Balkan countries unbroken. Most of the Ukrainian sugar goes to Poland, Romania, and Bulgaria. It is also noted that some producers accept sugar with an ICUMSA value above 60 due to the price pressure, which has caused the prices to stop rising.

Poorer ICUMSA value puts pressure on the price

This could further dampen the possible price increase, as a higher ICUMSA value is not necessarily worse for the product being produced. But if you look at EU sugar stocks of recent years and assume that, unlike in previous years, most sugar producers no longer produce anything worth mentioning, the stocks will fall faster than in previous years. At the same time, imports from non-EU countries are increasing dramatically while world market prices are rising. For this reason, many companies do not understand why the EU continues to maintain the high tariff rate for imported sugar. Who is the EU protecting with these tariffs? Lowering the tariffs would lead to a noticeable relief in sugar prices.

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