India’s Sugar Production Is Set to Bounce Back From a Seven-Year Low [Bloomberg Business News]
SGS SA ADR (SGSOY)
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Source: Bloomberg Business News
Sugar production in India is set to bounce back from a seven-year low as the area planted to cane increases and rain boosts yields in the world’s top consumer. Production may total 25.886 million metric tons in the crop year that began on Oct. 1, according to SGS SA, a researcher hired by Bloomberg to survey farmers during September and October in the main growing regions. That would be the first increase in three years and the highest since 2014-15 when India produced 28.3 million tons, according to data compiled by Indian Sugar Mills Association , which sees the country’s output at 25.1 million tons. Increasing Indian supply will bolster expectations of a global surplus that’s seen prices tumble 23 percent this year. The end of quotas in the European Union is expected to mean a pickup in exports from the bloc, while production in Thailand is set to rise. India won’t need imports this year, according to the country’s second-biggest producer Balrampur Chini Mills Lt
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