Early sales of 2022/23 sugar lose strength

Early sales of sugar from Brazil for the 2022/23 crop reached 7 million tons at the end of July, equivalent to 27.5% of forecasted exports, stated Archer Consulting on August 23rd.

According to the company, the movement for the 2022/23 season, which starts in April of next year, has recently lost momentum, with mills showing greater caution in the face of uncertainties concerning the expected volume for the production of the next harvest.

“The fifth estimate of sugar prices for exportation by the mills for the 2022/23 crop shows a deceleration (movement started in the previous month) in volume, reflecting concerns about the size of the next sugarcane crop, to be harvested in 2022”, said Archer’s managing partner, Arnaldo Luiz Correa.

He pointed out that the volume of contracts traded on ICE, the commodity futures exchange in New York, registered a strong reduction recently, from 3.15 million contracts traded in June to just under 2 million contracts in the month of July.

Source: NovaCana

To read the full original article, visit the link:

https://www.novacana.com/n/acucar/exportacao/fixacao-acucar-2022-23-perde-forca-atinge-27-5-exportacao-archer-240821

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