LONDON: Raw sugar futures on ICE rose on Tuesday, boosted partly by the potential for a global deficit in the 2026/27 season, while arabica coffee rebounded after setting a 1-1/2 year low.
SUGAR
Raw sugar gained 2percent to 15.02 cents per lb at 1156 GMT. Dealers said an expected drop in production in Thailand and the European Union could contribute to a global deficit.
The area planted with sugar beet in Germany has been cut by an estimated 12.6percent on the year for the harvest starting in autumn 2026 to about 338,700 hectares, the national statistics office said on Tuesday.
Farmers in Germany and other EU countries were expected to cut sugar beet plantings for the 2026 crop following a sharp fall in prices earlier this year, with sugar factories also cutting output. White sugar rose 1.4percent to USD442.70 a metric ton.
COFFEE
Arabica coffee was up 1.05percent at USD2.5945 per lb, regaining some ground after earlier setting a 1-1/2-year low of USD2.5565. Dealers said the prospect of a bumper crop in Brazil this year was keeping the market on the defensive. Rabobank on Monday forecast that Brazil’s 2026/27 coffee crop would total 73.3 million bags. Robusta coffee gained a marginal 0.03percent to USD3,307 a ton. Global green coffee exports edged up 0.8percent in March from a year earlier to 11.7 million 60-kg bags, as increased robusta and central American arabica exports were largely offset by lower Brazilian and Colombian exports, the International Coffee Organization (ICO) said in a monthly report on Tuesday.
COCOA
London cocoa was up 1.8percent at 2,926 pounds a ton although the market remained well below a 3-1/2-month high of 3,627 pounds set a week ago.
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