Sugar Prices Fall as Brazil Frost Fears Ease, Outlook Improves

Sugar prices fell today due to the removal of frost risk in Brazil and the early arrival of the monsoon season in India, boosting the outlook for a bumper sugar crop. Commodity trader Czarnikow projected a 7.5 MMT global sugar surplus for the 2025/26 season, the largest in 8 years.

India’s projected increase in sugar production by +19% y/y and favorable monsoon rains are bearish for prices. Brazil, India, and Thailand are all expected to see higher sugar production, negatively impacting prices. However, reduced sugar production in Brazil offers some support to sugar prices.

The International Sugar Organization raised its 2024/25 global sugar deficit forecast to a 9-year high of -5.47 MMT, indicating a tightening market. The USDA projected record global sugar production for 2025/26, with ending stocks set to increase. Increased production in key countries like Brazil, India, and Thailand is expected to impact prices.

Read more at Yahoo Finance: Sugar Prices Fall as Brazil Frost Risks Recede