03 March 1999
Sugar prices set to stay low
SUGAR prices appear set to stay low because of rising production and currency devaluations among exporters.
Raw sugar has been trading at its lowest level for 12 years this week on the Coffee, Sugar and Cocoa Exchange.
Global sugar production has outstripped consumption every year since 1994/95 and recent events have added to the downward pressure.
One factor has been an increase in Brazilian production, which is expected to increase again this year.
There have been currency problems among other big sugar growers, including Australia and Thailand.
These problems have been exacerbated by fall in demand because of the economic difficulties in Asia, Russia and Latin America.
- Australias sugar growers fear Brazil, FWi, 16 February, 1999
- Jamaica props up sugar industry, FWi, 09 February, 1999
- Financial Times 03/03/99 page 34