Colombia’s locust population has grown following its particularly rainy April and May.
Whilst locusts have caused worry across South America this year, we do not think they are a threat to Colombia’s cane fields.
However, the Colombian sugar market is especially vulnerable to any unforeseen disruptions, so further growth in the locust population needs monitoring.

What are Locusts?

Locusts are a type of grasshopper and are often solitary insects that do not significantly impact their ecosystem.
However, in certain circumstances, they can form a swarm consisting of millions of locusts, capable of covering hundreds of square km.
When this happens, they are hugely destructive to crops and agriculture as they travel great distances.
This has made the headlines when it occurred in the East Coast Africa and, more recently, in India.

It has recently been reported that Colombia’s locust population is growing.
On top of this, there are fears that the swarms could migrate into Colombia from Brazil.
However, these worries are still premature as locusts are native to Colombia and have rarely caused serious damage.
On top of this, they are usually found in the East of the country, whilst the cane fields are near the West Coast.

Until we see the locusts moving West or foreign swarms reach Colombia, the cane fields will remain untroubled.
However, watch this situation closely, as the domestic market is vulnerable to sharp rises if supply faces disruption.

How Could the Crop Be Affected?

Conversely to most cane crops, the Colombian crop harvest occurs all year round.
This means the domestic supply is more dependent on immediate production as opposed to large domestic stocks.

Historical prices are susceptible to production difficulties.
For example, prices regularly spike when heavy rains in April, May, and November affect the harvest process.

If locusts were to swarm the cane fields, it is unlikely the cane would be significantly damaged.
There are various solutions that can protect the crop from serious damage, such as pesticide spraying via airplane.
However, it is possible the response to this disruption will halt harvesting efforts at least for a short while.
This would likely cause a squeeze on supply as the immediate demand would not be met for a short while.