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Thailand's 2019/20 cane output hits 10-year low as drought bites

 

FILE PHOTO: Sugarcane is seen after being harvested in a field at Pakchong district in Ratchaburi province, Thailand March 22, 2016. The El Nino weather phenomenon has played havoc with crops across Southeast Asia and beyond. Thailand, the world's second-largest sugar exporter, will ship 20 percent less of the sweetener to international markets this year than last, and farmers fear the damage already inflicted on young cane plants could make next year worse. Picture taken March 22. REUTERS/Jorge Silva

 

BANGKOK (Reuters) - Thailand's cane output in the 2019/20 season was the lowest in a decade, as prolonged drought undermined yield, a Thai cane and sugar agency said on Wednesday.

 

Thailand, the world's second-largest sugar exporter after Brazil, crushed 74.89 million tonnes of sugarcane in the season that ended earlier this month, producing only 8.27 million tonnes of the sweetener.

 

The cane volume was the lowest since Thailand produced 68.4 million tonnes in the 2009/10 season, said Veerasak Kwanmuang, director of the Office of the Cane and Sugar Fund.

 

"The ongoing drought since last year has been worse, undermining yield per plantation. Low domestic cane prices have also encouraged farmers to turn to other crops," Veerasak told Reuters.

 

Veerasak said he expected Thailand's cane production in the next season to further decline by around 20%, as prolonged drought continues to hurt plantations well into this year and the world's economy is hit by the coronavirus pandemic.

 

"The COVID-19 outbreak has resulted in a decline in global demand for sugar," he said.

 

Sugar futures prices have been declining since late February, due to lower consumption linked to lockdowns in many countries and weaker demand from ethanol producers following the recent dive in crude oil prices. <LSUc1> <SBc1>

 

Cane planting is already underway in some provinces in Thailand ahead of the 2020/21 season, for which crushing will start in December.

 

-- © Copyright Reuters 2020-04-22

 

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[Toany]

Only Brazil is not a third world country and bans the burning of sugar cane

Edited April 22, 2020 by Toany

[Moonlover]

25 minutes ago, Toany said:

Only Brazil is not a third world country and bans the burning of sugar cane

And apparently enforcement is just as lax there as it is here.

[DrTuner]

How long has the drought have to last until they got nothing left to burn?

 

Thinking about which horse to cheer.

[Toany]

1 hour ago, Moonlover said:

And apparently enforcement is just as lax there as it is here.

The government here give the sugar cane factory a percentage of burnt sugar cane they can process.  No need to ignore the law here

[kickstart]

39 minutes ago, Toany said:

The government here give the sugar cane factory a percentage of burnt sugar cane they can process.  No need to ignore the law here

Do what, the government does not give any cane to a mill ,if the grower sends  any burnt cane to the mill they will be a reduction on the price.

The op is about right they will be about a 20% reduction in cane yield next year ,in our area a lot of cane farmers have ploughed up their cane fields, low yields with the drought and a low selling price.

This year's cassava prices have been good, a lot of cassava is being planted instead of cane ,so next year cassava prices will be low, you can not win 

[fourpack]

Correct due to the low prices it's not worth planting. 2018 1k a ton 2019 550 a ton 2020 650 a ton. Unburned.

However  our crop was burnt this year Not By Us I hasten to add.

And low and behold within 24 hrs had Two Families knocking on the door offering to buy the cane burnt for 25k job lot 10acres. Did a bit of digging both families related suprise suprise. Cut it out self found a buyer got 55k.

Fields now reverted to rice Cane just isn't worth the effort anymore

Edited April 22, 2020 by fourpack

[Toany]

The government set the limit to the amount of burnt sugar cane that can be processed.  So, the government allows the burning of sugar cane.  If they banned the factories from processing burnt sugar cane it would stop overnight.