LONDON: Raw sugar futures on ICE rose to an 18-month high on Thursday, boosted by crop concerns in several major producers, while coffee and cocoa prices fell.
SUGAR
Raw sugar rose 1.7percent to 18.92 cents per lb by 1113 GMT after peaking to an 18-month high of 19 cents. Dealers said the market was supported by concerns that several key producers may see a decline in production in the 2026/27 season including India, Thailand and the European Union.
They noted, however, that supplies are currently ample. The delivery against the October contract, which was the largest in 2026, was viewed as bearish, reinforcing sentiment that the market is currently well supplied.
The expiry saw deliveries of 1.45 million metric tons, with Brazilian trader BTG Pactual Commodities as the main deliverer and Asian trader Wilmar the sole receiver of the sugar, traders said. White sugar gained 0.8percent to USD510.20 a metric ton.
COFFEE
Robusta coffee lost 1.5percent to USD3,393 a ton. Dealers noted top robusta producer Vietnam officially entered its new crop year on Thursday although traders said newly harvested beans are unlikely to arrive in bulk before early November.
“Prices for the upcoming harvest have yet to be determined. They will depend on multiple factors, including the situation in Brazil and weather conditions in the Central Highlands next month, although current conditions are favourable for coffee trees,” said a trader based in the region.
Arabica coffee fell 0.8percent to USD2.8830 per lb.
COCOA
New York cocoa lost 3.45percent to USD5,177 a ton after hitting a two-month low of USD5,099. Dealers said the market continued to be weighed down by excess supplies following a large global surplus in the 2025/26 season (October/September). London cocoa fell 3.2percent to £3,889 per ton.
Comments