WILLAGRI
The world sugar market could record a deficit of 4.8 million tonnes in 2024/2025, compared to a surplus of 1.3 million tonnes in the previous season. This was announced by the International Sugar Organization (ISO) in its latest note published earlier this month. This would be the largest gap recorded in 9 years. According to the cartel, overall consumption is expected to reach a record level of 180.4 million tonnes while production is only 175.5 million tonnes. The decline in global production is first and foremost linked to the anticipated underperformance in India. In this country, the world’s second largest producer, after Brazil, production will be 26.4 million tons by next September compared to 32.2 million tons during the 2023/2024 season, mainly due to the decline in sugarcane yields. According to observers, the announcement of a deficit in the market should nevertheless have a limited impact on prices in the coming months. With the prospects of improved global supply thanks to favourable weather conditions in Brazil, the world’s largest sugarcane producer, the Australian consulting firm Green Pool is already predicting a return to a surplus phase as early as the 2025/2026 season.
Source : Agence Ecofin