Monthly Archives: September 2012

Bunge takes delivery of 500,000 tonnes of sugar

More than 500,000 tonnes of ICE October raw sugar has gone to delivery with Bunge thought to have taken most of the 11,000 plus lots.  The market will wait to see what Bunge intends to do with such a large delivery of sugar and what the destination will be once vessels are nominated.   The move could add further bearish pressure.  October raw sugar closed at an 84 cent discount to March raws indicative of the surplus sugar on the market.

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Sugar surplus puts downward pressure on prices

Surplus sugar continues to put downward pressure on prices as the Brazilian harvest gathers pace in the world’s largest exporter.  While Thailand is expected to export in excess of 7.5m tonnes in its 2012/13 season down slightly from last year.

The nearest month October raw sugar contract closed at 20.42 cents per lb while December white sugar closed at $574.50 per tonne.