Fitch Solutions said it sees raw sugar prices averaging 2% higher this year. The prediction is due to the reduced output in various regions, including Europe and India, while demand in China should increase. The raw sugar price is expected to increase from an average of 18.6 cents per pound last year to 19 cents this year, according to the research arm of credit ratings agency Fitch Group. The average prediction made by Fitch for the year is below the current trading price of almost 20 cents per pound. The retraction will take place as a result of Brazil’s expected production of 38.1 million tons, a rise of 7.6% from the previous year.
Sources: Reuters/Nova Cana (*Translated by Ia Niani)