Asia Faces Sugar Deficit on Smaller Indian Crop, Green Pool Says
September 25, 2012 at 9:38 AM
By Supunnabul Suwannakij
Sept. 25 (Bloomberg) -- The sugar market in Asia will probably swing to a deficit in 2012-2013 as dry weather cuts the harvest in India, the world’s second-largest producer, according to Green Pool Commodity Specialists Pty.
The deficit is estimated at about 900,000 metric tons from a surplus of 580,000 tons in 2011-2012, which will be the first excess since 2007-2008, said Tom McNeill, a director at the Brisbane, Australia-based researcher, who’s worked in the industry for more than 25 years.
The shortage in Asia will be overwhelmed by a surplus of almost 9 million tons in the Western hemisphere, resulting in a global glut of about 8 million tons, said McNeill, former head of analysis at Lausanne, Switzerland-based broker Kingsman SA.
India’s production may drop by 2 million tons to 24.2 million tons, while output in Brazil’s center-south may climb to
31.8 million tons from 31.3 million tons, said McNeill. Brazil is the world’s biggest producer and exporter.
Sign In © 2024 Green Pool Commodity Specialists All rights reserved.