Sugar - Prices plunge due to need of cash, but level is still high
By Artur em 23/06/2009 :: Talk wiht us
In the balance of the first fortnight of June, Brazilian sugar prices tumbled. Even so, the current prices in the domestic market (considering Sao Paulo state) are still roughly 55 percent higher than those recorded in the same period of 2007 and 2008.
Between May 29 and June 15, the Cepea/ESALQ Index (São Paulo state) for crystal sugar slumped 4.19 percent, closing at 42.22 reais or 21.62 dollars per bag of 50 kilos on June 15. This scenario was marked by need of cash of some Brazilian sugar mills, which increased supply. However, other units – as the located in Piracicaba (SP) region – traded at prices above average because of good logistic and limited stocks.
Unica (Sugarcane Agroindustry Association) informed that, from early April to May 15, mills from the Center-Southern region produced 3.14 million tons, volume 90 percent bigger than that in the same period of 2008.
Regarding Brazilian sugar exports, 1.57 million ton was shipped in May, volume 62.9 percent superior to that of April/09 (964.4 thousand) and 55.7 percent than that of May/08 (1.01 million), according to Secex (Foreign Trade Secretariat). Along with 2009/10 season (April and May), shipments totaled 2.54 million tons, 60.6 percent higher than that exported in the same period in the last crop (1.58 million ton).
Source: Cepea
www.cepea.esalq.usp.br
Between May 29 and June 15, the Cepea/ESALQ Index (São Paulo state) for crystal sugar slumped 4.19 percent, closing at 42.22 reais or 21.62 dollars per bag of 50 kilos on June 15. This scenario was marked by need of cash of some Brazilian sugar mills, which increased supply. However, other units – as the located in Piracicaba (SP) region – traded at prices above average because of good logistic and limited stocks.
Unica (Sugarcane Agroindustry Association) informed that, from early April to May 15, mills from the Center-Southern region produced 3.14 million tons, volume 90 percent bigger than that in the same period of 2008.
Regarding Brazilian sugar exports, 1.57 million ton was shipped in May, volume 62.9 percent superior to that of April/09 (964.4 thousand) and 55.7 percent than that of May/08 (1.01 million), according to Secex (Foreign Trade Secretariat). Along with 2009/10 season (April and May), shipments totaled 2.54 million tons, 60.6 percent higher than that exported in the same period in the last crop (1.58 million ton).
Source: Cepea
Links referenciados
Cepeawww.cepea.esalq.usp.br
www.agrosoftbrazil.com
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