- The market has struggled to break through $320/mt recently, although market sentiment is negative.
- Despite low prices farmers are not getting the correct signals to plant less cane and beet in key countries.
- The re-election of Modi in India opens up the possibility of further subsidised Indian exports in 19/20.
- While Thailand has surplus white sugar that needs to be sold before the end of 2019, competing vs regional refiners.
- We are therefore reliant on the weather to break the current surplus cycle.
