LONDON: Raw sugar futures were higher on Wednesday, supported by dry weather in Brazil and weaker production outlooks in India and Thailand, while cocoa and coffee prices fell.
Sugar
Raw sugar futures rose 1% to 18.86 cents per lb by 1438 GMT.
Dealers said there was little sign of fresh export sales from India even though they have not yet filled a quota of one million tons to help mills export surplus stocks.
Indian mills have contracts to export 600,000 metric tons of sugar in the 2024/25 marketing year ending in September, but are reluctant to sign further export deals as local prices have increased, five industry officials told Reuters.
StoneX on Wednesday forecast that sugar production in Centre-South Brazil would total 41.7 million tons in 2025/26, broadly in line with the consensus in a Reuters poll issued last month of 41.6 million.
White sugar was 1.7% higher at $533.40 a metric ton.
Indian mills sign contracts to export 600,000 metric tons of sugar
Cocoa
New York cocoa fell 0.95% to $8,223 a ton.
Dealers said the market lacked a clear overall trend during the last few days with support emerging whenever prices dip below $8,000.
An improving outlook for this year’s crop in top-grower Ivory Coast, however, has helped to limit the scope for any rebound in prices after a sharp decline last month.
London cocoa fell 0.3% to 6,385 pounds a ton.
Coffee
Arabica coffee fell 2.1% to $3.8565 per lb.
Dealers said the market was pressured by concerns that a sharp rise in prices last year was eroding demand.
Robusta coffee fell 0.4% to $5,532 a ton.
Comments