Sugar prices fell today due to a drop in crude oil prices, prompting increased sugar production. India and Brazil are boosting sugar output, with India reporting a 43% y/y increase in sugar production. The International Sugar Organization forecasts a sugar surplus in 2025-26, contributing to bearish market sentiment and low prices.

Brazil and India are expected to have record sugar output, further increasing global sugar supplies. India’s sugar exports may rise, impacting prices negatively. Thailand is also projected to increase sugar production, adding to the surplus. The USDA forecasts record global sugar production and consumption in 2025-26, with higher ending stocks.

India’s sugar production may increase by 25% y/y in 2025-26 due to favorable conditions. The USDA predicts Brazil and Thailand to also see higher sugar production. Sugar prices have support from India’s decision to limit exports to 1.5 MMT. Overall, the outlook for sugar prices remains bearish due to an expected surplus in the market.

Read more at Yahoo Finance.: Sugar Prices Weighed Down by Weakness in Crude Oil