AGL 40.40 Increased By ▲ 0.20 (0.5%)
AIRLINK 129.00 Decreased By ▼ -0.11 (-0.09%)
BOP 6.35 Decreased By ▼ -0.25 (-3.79%)
CNERGY 4.15 Increased By ▲ 0.12 (2.98%)
DCL 8.61 Increased By ▲ 0.16 (1.89%)
DFML 42.30 Increased By ▲ 1.05 (2.55%)
DGKC 87.98 Increased By ▲ 0.98 (1.13%)
FCCL 33.63 Increased By ▲ 0.28 (0.84%)
FFBL 66.15 Increased By ▲ 0.25 (0.38%)
FFL 10.72 Increased By ▲ 0.18 (1.71%)
HUBC 113.10 Increased By ▲ 2.40 (2.17%)
HUMNL 15.81 Increased By ▲ 0.58 (3.81%)
KEL 4.80 Increased By ▲ 0.02 (0.42%)
KOSM 7.97 Increased By ▲ 0.14 (1.79%)
MLCF 42.11 Increased By ▲ 0.21 (0.5%)
NBP 60.95 Increased By ▲ 0.45 (0.74%)
OGDC 189.45 Increased By ▲ 6.65 (3.64%)
PAEL 25.56 Increased By ▲ 0.20 (0.79%)
PIBTL 7.26 Increased By ▲ 1.00 (15.97%)
PPL 149.15 Increased By ▲ 1.34 (0.91%)
PRL 25.20 Increased By ▲ 0.64 (2.61%)
PTC 16.40 Increased By ▲ 0.16 (0.99%)
SEARL 70.59 Increased By ▲ 0.09 (0.13%)
TELE 7.36 Increased By ▲ 0.06 (0.82%)
TOMCL 36.14 Decreased By ▼ -0.16 (-0.44%)
TPLP 8.07 Increased By ▲ 0.22 (2.8%)
TREET 16.39 Increased By ▲ 1.09 (7.12%)
TRG 51.42 Decreased By ▼ -0.28 (-0.54%)
UNITY 27.31 Decreased By ▼ -0.04 (-0.15%)
WTL 1.27 Increased By ▲ 0.04 (3.25%)
BR100 9,932 Increased By 90.6 (0.92%)
BR30 30,482 Increased By 445.5 (1.48%)
KSE100 93,238 Increased By 717.9 (0.78%)
KSE30 28,971 Increased By 185 (0.64%)

Green Pool said on Thursday it had raised its forecast for a projected global sugar surplus in the 2017/18 season tonnes to 5.55 million tonnes from 4.72 million seen previously. The Australian-based analyst also sharply reduced the size of an expected deficit for the 2016/17 season to 2.04 million tonnes from a previously forecast 3.97 million.
"There remains some upside risks to that (2017/18) surplus - particularly in countries such as India, Russia and Thailand," Green Pool said in a report. "That said, there are some offsetting risks to the downside - while we have maintained a lower sugar figure for CS Brazil than most this year, it is possible our 35.5 mln tonne sugar figure will turn out too high if sugar prices fall further and particularly if they stay low through the harvest." Green Pool said the main reason for the sharp reduction in the 2016/17 deficit was an upward revision of 1.73 million tonnes to production in Pakistan. Global sugar production in 2017/18 was forecast to increase by 10.65 million tonnes, or 6.0 percent, to a record 188.43 million tonnes.
"High prices have strongly boosted production for 17/18, and the market is moving from a second year of small deficit (16/17) into a sizeable surplus on current forecasts," Green Pool said. Raw sugar futures rose sharply last year, peaking at a more than four year high of 23.90 cents a lb in October 2016. The market has subsequently retreated and slumped to a 16-month low of 12.53 cents earlier this week.
"Prices continue to react not just to a less tight than expected situation in 2016/17, but also to a looming substantial surplus in 2017/18," Green Pool said. Global consumption was forecast to rise by 2.55 million tonnes, or 1.42 percent, in 2017/18 to 181.87 million. Green Pool said consumption had been curbed by high domestic prices in many countries, health concerns, sugar taxes and inroads made by corn syrups and non-nutritive sweeteners.

Comments

Comments are closed.