Global Sugar Prices Show Mild Volatility

04-Dec-2025 01:30 PM

New York. Sugar production in Brazil is expected to decline slightly due to millers prioritizing sugarcane for ethanol production, which is contributing to higher global prices. Meanwhile, India's production is expected to increase significantly,

and the government has approved the export of 1.5 million tons, which is expected to put pressure on sugar prices.

Given the situation in these two top producing countries, global sugar futures prices are experiencing slight fluctuations.

On the New York Stock Exchange, the raw sugar futures contract for the most active month initially rose by 0.8 percent, but then began to soften. It is noteworthy that sugar futures prices fell sharply on the first day of the current week, but recovered slightly on the second day.

The market remained largely stable on the third day. In fact, traders, importers, and investors are now focused on the potential sugar production outlook in India.

The sugar production season in Brazil has reached its final stages, and production will slow significantly after this month.

Meanwhile, the sugarcane crushing and sugar production season has just begun in India. Sugar production in the two months of October-November 2025 increased to over 4.1 million tons.

Weak sugar prices are encouraging Brazilian millers to increase ethanol production. Currently, sugar prices hover around 16.5 cents per pound, which is not very attractive to millers.

Only after higher prices can Brazilian millers increase their sugar production. Yesterday, raw sugar futures on the New York Exchange improved by just 0.2 percent to 15.01 cents per pound, while white sugar futures on the London Exchange weakened slightly.