Brazil remains the world’s largest sugar producer and exporter, accounting for approximately 45% of global sugar exports. As we move through 2024, several factors are shaping the Brazilian sugar market.
Current Market Conditions
The 2023/2024 harvest season in Brazil’s Center-South region has shown strong results, with sugar production exceeding initial forecasts. Favorable weather conditions and increased crushing capacity have contributed to higher output.
Key Factors Affecting Prices
- Ethanol vs. Sugar: Brazilian mills continue to balance ethanol and sugar production based on relative prices
- Global Demand: Strong demand from Asia, particularly India and China
- Currency Exchange: Brazilian Real fluctuations impact export competitiveness
- Logistics: Port capacity and shipping costs remain important factors
2024 Outlook
Analysts expect Brazilian sugar exports to remain strong in 2024, with production estimates ranging from 35-40 million tonnes. The country’s ability to quickly shift between ethanol and sugar production provides flexibility in responding to market conditions.
For buyers, this represents continued availability of Brazilian ICUMSA 45 and other grades at competitive prices. Contact The World Merchants for current pricing and availability.