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world sugar stocks on track for recovery

... 5m tonnes in the 2011/12 (october-september) crop year, on the back of increased production in europe and asia ... in its ‘sugar quarterly - q3 2011’ newsletter, which was published this week, rabobank international said that “with current crop expectations and normal weather conditions over the coming year, the market should see global stocks gradually accumulating as the new northern hemisphere beet and cane crops are harvested and processed ... “last year output in both the eu and russia was impacted by unfavourable weather ... this season, weather has been good, and yields are expected to be higher ... the same is true for china, where output has been below trend for the last couple of years, but high cane and beet prices should see output rebound in 2011/12 ... india, meanwhile, is seeing cane area increase for 2011/12 as a result of good prices,” he explained ... “it will only be in late q4 2011 that the european beet harvest will be finished, while major northern hemisphere cane crop harvests will not start until q2 2012,” explained the report’s authors ... as a result, global stocks will continue to be tight for some months ahead, and the market will remain extremely sensitive to availability of supplies from brazil, the world’s largest exporter - and forecasts for cane, sugar and ethanol production in the region have been revised downwards twice over the last month more

 Source : foodnavigator.com   Date : 25 August 2011   Category : food industries Economic
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