In the global sugar sector, things are rather soft for producers with prices in 2021 up by 21%. In the face of ever-growing global demand, tight supply due to labor shortages as well as grumbling in transportation and the supply chain drove prices up for the third year in a row. S&P Global estimates that global demand will continue to increase over the next 6 years with an estimated deficit of 1,485 million tonnes. However, the scenario is much milder with us in India, with increasing demand providing the country’s sugar factories with massive export opportunities.
The world’s second-largest sugar producer is already expected to sell more than six million tonnes of sugar on the world market this year. This comes despite the World Trade Organization ruling that the country flouted the rules by offering export subsidies, the subsidies having since been removed.
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