Its price rose to an 11-year high sugarwhich is expected to have an impact on consumers and a number of other products.

Contracts for raw sugar rose to 24 cents a pound on the back of rising demand, as well as adverse weather for the crop.

High sugar prices are expected to pass on to the consumer: Sugar-laden products such as sweets, soft drinks and snacks are also expected to rise in price. In any case, processed food prices are rising due to increased energy and labor costs.

“Over the past few weeks, the Asian sugar harvest has begun and we are seeing a number of producing countries such as India, Thailand, China and Pakistan review their numbers downward,” commodities analyst John Stansfield said in an interview. CNBC at DNEXT.

Depending on the course of the El Niño weather event as well as the rainy season, production in Asia could suffer in the medium term and prices could rise even more.

Similarly, in Europe, this year has been a poor one for beet sugar production due to reduced planting areas and a summer drought combined with increased demand.

While China could potentially use government reserves to ease pressure on global markets, experts see little chance of doing so.

Finally, even the decision of OPEC+ to cut oil production affects the price of sugar, as the use of sugar cane for ethanol production has increased.

According to the International Sugar Organization, about 80% of the world’s sugar production comes from sugar cane and 20% from beets.

⇒ News today

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