Harvest Production in Thailand has pushed Sugar prices to the lowest prices in seven months on speculation that supply will more than suffice to meet demand.
In an email Jerome Jourquin, global head of agricultural commodities at Market Securities, a unit of Kite Group. stated ” Sugar is down on ample supplies from Thailand, The harvest in Brazil is has started and though prices are still historically high, further weakness is expected.”
“One month ago an estimate of 9 million tons was thought of as silly” now there is speculation that the Thai out put could reach 10 million tons a far cry from the initial 6.7 million ton estimate stated broker and researcher Kingsman SA.