LONDON: Raw sugar futures on ICE were higher on Wednesday as the market pulled further away from the prior session's 16-month low ahead of the release of closely watched cane crush data for the centre-south of Brazil.
Cocoa and coffee futures also rose.
SUGAR
July raw sugar rose 0.18 cents, or 1.4 percent, to 12.83 cents per lb by 1137 GMT. The front month had dipped to a low of 12.53 cents on Tuesday, its weakest since February 2016.
Dealers said the market was awaiting the release, possibly later on Wednesday, of sugarcane crushing figures for the centre-south of Brazil covering the first half of June.
"Data is expected to show a strong crush, and for the gap with last season to narrow," ING said in a market note.
Antonio de Padua Rodrigues, technical director for Brazil's cane industry group Unica, said on Tuesday that centre-south mills were able to speed up harvesting during the first half of June due to dry weather.
Padua said mills in centre-South Brazil continue to prioritize sugar output over ethanol production to fulfil contracts. He added, however, that mills might increase ethanol production at the expense of sugar in a month or two if sugar prices remain low and the biofuel gives better returns.
August white sugar gained $3.50, or 0.9 percent, to $392.40 a tonne.
Top sugar consumer India could be set to ramp up imports of the sweetener as a sharp drop in international prices and a stronger rupee make overseas purchases viable despite stiff duty charges, industry officials said.
COCOA
September London cocoa rose 9 pounds, or 0.6 percent, to 1,505 pounds a tonne.
Dealers said the market was awaiting clearer indications on the prospects for next year main crops in West Africa with pod counters beginning to assess the outlook.
"People are out counting. I think the July counts will be more informative," one dealer said.
Dealers said the expiry of July options on Friday would provide a short-term focus.
September New York cocoa rose $18, or 1.0 percent, to $1,881 a tonne.
COFFEE
September arabica coffee rose 0.60 cents, or 0.5 percent, to $1.2590 per lb.
Dealers said the market was continuing to consolidate above last week's 16-month low, underpinned by a possible global deficit in the 2017/18 season.
September robusta coffee rose $6, or 0.3 percent, to $2,092 a tonne.
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