US lowers outlook for domestic sugar supplies in 2018/19

NEW YORK: The US Department of Agriculture (USDA) on Thursday lowered its outlook for sugar stocks in the current crop year on reduced expectations for domestic production.

The closely watched stocks to use ratio was seen at 11.3 for 2018/19, down from October's forecast of 12.7, the USDA said in its monthly supply-demand report. That compares with a ratio of 16.0 in the 2017/18 crop year that ended Sept. 30.

US sugar farmers will produce 9.02 million short tons (8.18 million tonnes) in 2018/19 as a drop in beet output offsets higher cane production in Louisiana. That compares with output of 9.29 million tons a year earlier.

The forecast for total imports was unchanged at 2.80 million tons.