Global sugar prices under pressure

Wednesday, 28 August 2013 00:18 - - {{hitsCtrl.values.hits}}

Reuters: A global sugar surplus will keep the price of the commodity under pressure for the foreseeable future, but it was unlikely to trade below 15 US cents per pound, according to the International Sugar Organization (ISO).

“There is bearish pressure on the prices, at least until we see how this 13/14 season goes on,” ISO Executive Director Peter Baron told Reuters on the sidelines of a sugar conference. “Personally, I don’t think prices go below 15 cents. I don’t think so,” Baron added.

The global sugar surplus is expected to slide to 4.5 million tons in 2013/2014 from 10.3 million tons in 2012/2013 but that might not help support prices, the ISO said last week. Sugar prices hit a three-year low of 15.93 cents a pound in July.