India is likely to produce surplus sugar in 2017/18 as farmers have increased cane-growing area, a leading industry body said on Monday.
The world’s biggest consumer of sugar is unlikely to import the sweetener in the 2016/17 marketing year that started on October 1, as the country have ample carry forward stocks from the last year, Abinash Verma, Director-General of the Indian Sugar Mills Association, told reporters on the sidelines of a conference.
The country is likely to produce 23.4 million tonnes of sugar in 2016/17, down around 7 per cent from a year ago as back-to-back droughts ravaged the crop in top-producerMaharashtra.
Meanwhile, raw sugar futures edged up on Monday, consolidating ahead of the holiday season, despite an outlook which remained bearish on strong supply.
March raw sugar futures were up 0.15 cents at 18.37 cents a pound, at 1210 GMT. March white sugar futures were up $1.1 at $493.50 a tonne.
Cocoa futures were higher, boosted partly by news that speculators had increased further an already large short position, prompting some to expect there may be scope for a short-term rebound in prices.
May New York cocoa was up $19 at $2,257. May London cocoa was up £12 at £1,836 a tonne.
March robusta was up $7 at $2,090 a tonne; March arabica coffee rose 0.95 cent to $1.4340/lb.