The liberalisation of the EU sugar market next year must be accompanied by market measures to maintain sugar beet production and allow the sector to retain its strategic importance, according to a recent EU report.
Global sugar prices have rocketed 30% since mid-April as the balance between supply and demand tightens. In Europe prices have remained steady but could soon increase, according to Rabobank’s latest sugar quarterly.
Strong profit performances by Associated British Foods’s (ABF’s) grocery and ingredients divisions and Primark will help to offset lower sugar prices and currency factors, predicted the food giant in a trading update today (September 8).
Sugar stocks should rise significantly from their current low levels, with analysts forecasting a global sugar surplus of around 9.5m tonnes in the 2011/12 (October-September) crop year, on the back of increased production in Europe and Asia.
The downward trend in sugar prices is likely to continue, but this recent correction in the market may be undermined by tight global supplies, a factor also likely to curb the fall in cocoa prices, according to Rabobank.
Danisco has announced that it will sell its sugar division to
Nordzucker for DKK5600m, around €751m, bringing to an end months of
speculation as to whether it would agree to a sale or opt to spin
off sugar into a separate business.
Danisco has said it is close to concluding negotiations with
potential buyers of its sugar business, but is still working
towards spinning it off into a separate business by the end of 2008
in case a suitable deal cannot be struck.
French sugar giant Tereos is entering into agreements with La
Societe des Sucreries du Marquenterre to counter the effects of
sugar reform on its operations, including taking over the latter's
sugar plant in Marconelle.
Associated British Foods, owner of British Sugar, yesterday
announced the closure of two sugar beet processing factories in
northern England, but insisted it can still increase UK sugar
output through efficiency gains.
Imperial sugar yesterday reported a strong sales increase in its
first quarter, boosted by increased consumer and foodservice prices
on the back of a tight domestic sugar market. And with the supply
situation still uncertain, the...
The US Department of Agriculture (USDA) has announced it will allow
extra sugar imports into the country in an effort to prevent market
shortages after hurricane damage to sugarcane crops, delayed sugar
beet harvests, disruptions...
A follow-up study to the UK's farm scale evaluations (FSE) of
genetically modified crops has found that the impacts on wildlife
observed in the initial results can persist for two years, reports
Tate & Lyle has vowed to continue to pursue its ambitious
expansion plans despite warnings that proposed changes to the sugar
regime could begin to affect business as soon as 2007, writes
Imperial Sugar yesterday (Thursday) announced a higher
first-quarter profit, but predicted that operating income would
fall significantly in 2005 as the sugar industry remains
challenging, reports Philippa Nuttall.
Top ingredients supplier Danisco will phase out its activities in
oil and protein crops in order to focus on sugar beet seed, said
the Danish firm this week, in a move reflecting changes to the
European sugar regime in 2006 that will...
US biotech crop pioneer Monsanto is to suspend the introduction of
the world's first biotech wheat, amid public outcry at the possible
risks of genetically modified crops and at Monsanto's aggressive
marketing tactics, writes...