Sugar
Statistical deficit for 2019/20 revised down to 0.136 mln tonnes from 9.298 mln tonnes in May
Small deficit of 0.724 mln tonnes expected for 2020/21
Consumption data from 2015/16 onwards revised lower
Brazil dominates export availability in recent months
World prices rise by nearly 20% in last three months
White sugar premium retreats from USD100/tonne level
Hedge funds switch to long position
US dollar index weakens for the third consecutive month
Domestic prices fall in China, under pressure from changed import regulations
Commodity Prices
Weak USD broadly supportive of commodity prices
Crude oil prices regain lost ground
Corn prices remain low on increased stocks and record yield outlook
Fuel Ethanol
Uncertainty remains over the impact of the pandemic on global fuel supply and demand
World production in 2020 revised lower to 100.4 bln litres, but expected to recover in 2021
Global consumption to fall to 99.4 bln litres in 2020
US production recovering while Brazil focuses on sugar production, rather than ethanol
Bioplastics and Biochemicals
Bioplastics for packaging market expected to reach USD15.6 bln by 2027
Cogeneration
Australia has the potential to triple cogenerated electricity
In Brazil, bagasse-based electricity sold to the grid this year avoided 2.8 mln tonnes of CO2
Alternative Sweeteners
In 2019 US HFCS consumption down by 2.45% to 6.680 mln short tons.
In the first quarter of 2020 sugar consumption increased by 6% to 3.097 mln short tons. Sugar consumption in 2020/21 is projected to increase by around 0.6% to 12.230 mln short tons
Molasses
Over the six month of 2020 cane molasses prices reached a decade high of USD212/tonne, while beet molasses prices rose to a high of USD180/tonne in June 2020
WTO Update
WTO trade barometer drops to a historical low in second quarter of 2020
RTAs
USMCA provides opportunity for US exports of corn and high fructose corn sweeteners to Mexico
Trade deal between the US and India suspended following disagreement
Ukraine is ready to supply food and agricultural products to Israel under FTA
Trade agreement between China and Cambodia to expand trade, including sugar
i-iii Executive Brief 1 World Sugar Market 1 World Balance 3 Supply 3 Production 13 Export Availability 15 Demand 16 Consumption 16 Import Demand 19 Brief(20)05 – Trade Balance for Raw and White Sugar 20 World Market Events and Prices 23 Currency Movements 25 Domestic Prices 27 Commodity Prices 29 Fuel Ethanol 29 Overview 30 Production 33 Consumption 34 Trade 36 Prices 39 Bioplastics and Biochemicals 40 Cogeneration 41 Alternative Sweeteners 41 HFCS / Isoglucose 44 Intensive Sweeteners 45 Molasses 49 WTO Update 50 Regional Trade Agreements 51 World Sugar Balance Estimates The views expressed in this document are those of the ISO Secretariat. They do not necessarily represent the views of the ISO Members.