FAO Sugar Price Index keeps growing

The FAO Sugar Price Index averaged 183.1 points in November, up 7.7 points (4.4%) from October, marking the third consecutive monthly gain.

"The increase in sugar price quotations mostly reflects production developments in Brazil, where according to the latest estimates, sugar output in the Center-South region is heading to a 27% decrease from last year. In addition, the share of sugarcane used to produce sugar is seen to have dropped to 35.8% from 47.4% in 2017, with the bulk of the cane harvest directed to ethanol production," the message says.

However, the cut in Brazilian gasoline prices last month prevented sugar prices from rising even further, by diverting some sugarcane away from ethanol production.

Harvesting of sugar beet is completed in Ukraine. Part of the harvest is still stored in piles in the fields.