The world’s sugar supply balance is expected to improve in the 2021/22 season that started this month due to higher production in Asia and Europe, which will partially offset another poor year in Brazil, broker StoneX said in a report.
Despite the improvement, the season will still see demand surpassing production for the third consecutive year, causing a supply deficit of 800,000 tonnes in the 2021/22 season, meaning stocks will continue to decrease, said the report.
Source: Reuters (Reporting by Marcelo Teixeira)