Sugar prices plummeted on Tuesday, with NY and London sugar futures closing lower. An increase in Brazil’s sugar production estimate and projections of global sugar surpluses have pressured prices. Brazil’s higher sugar output and favorable monsoon in India are contributing to the bearish outlook for sugar prices globally.

Brazil’s Center-South sugar output is rising, leading to concerns of oversupply in the market. India’s strong monsoon season is expected to boost sugar production, worsening the surplus. Thailand’s sugar production is also on the rise, adding to the bearish sentiment in the sugar market.

The International Sugar Organization forecasts a global sugar deficit for the 2025/26 season, marking the sixth consecutive year of shortfalls. Despite rising production, consumption is expected to outpace supply. The USDA projects record-high sugar production globally, leading to an increase in ending stocks.

Read more at Yahoo Finance: Sugar Prices Sharply Lower on the Outlook for Higher Brazil Sugar Production