SOFTS-Raw sugar slumps to one-year low on Brazil production data
28 July 2022, New Delhi: Raw sugar futures on ICE fell to a one-year low on Wednesday, weighed partly by stronger-than-expected production in the centre-south region of Brazil during the first half of July.
- October raw sugar SBc1 fell 0.5% to 17.39 cents per lb by 1420 GMT after dipping to a one-year low of 17.32 cents.
- Sugar production in Brazil’s centre-south totalled 2.97 million tonnes in the first half of July, sugar and ethanol industry group Unica said on Wednesday.
- Production had been expected to be around 2.84 million, according to a survey from S&P Global Commodity Insights.
- September arabica coffee KCc1 rose 2.5% to $2.1845 per lb.
- Dealers said the market continued to derive support from falling exchange stocks. ICE certified stocks, as of July 26, stood at only 703,310 bags, sharply down from 2.18 million bags a year ago.
- They also noted if the weather in top producer Brazil remains dry in coming weeks it could have an adverse impact on next year’s crop.
- September robusta coffee LRCc2 rose 1.1% to $1,996 a tonne.
- Food and beverage giant Nestle NESN.S said it has started operations at its new coffee processing plant in Mexico, its largest instant coffee site in the world, where it invested $340 million to process 670,000 bags per year.
- September New York cocoa CCc1 fell 1.2% to $2,372 a tonne, slipping back after earlier climbing to a one-month peak of $2,410.
- September London cocoa LCCc1 fell 0.7% to 1,752 pounds a tonne.
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