At Any Rate

Global Commodities: Geneva Sugar Takeaways, and other sweet treats

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Apr 25, 2025
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INSIGHT

European Sugar Acreage Decline

  • Sugar beet acreage in Europe is expected to contract by 5% to 8% in 2025 due to a steep 30% price decline in 2024.
  • Despite recession fears, sugar consumption historically holds up well, even increasing during non-financial recessions.
INSIGHT

Ethanol Demand Drives Sugar Market

  • Ethanol demand is a major driver of global sugar demand, with Indian blending mandates increasing ethanol usage.
  • Sugar plantings are not generally expanding, except in India and Thailand, where price factors influence crop choices.
INSIGHT

Brazil Dry Weather Limits Sugar Supply

  • Brazil's Centre South sugarcane tonnage estimate is much lower than expectations due to dry weather, signaling supply risk for 2025-26.
  • There remains considerable weather and supply uncertainty affecting sugar prices despite strong calls.
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