Thailand Trims Sugar Output Estimate as Drought Shrivels Crops

[webfact]

Thailand Trims Sugar Output Estimate as Drought Shrivels Crops
by Supunnabul Suwannakij

- Production seen shrinking first time since 2012-13 on El Nino
- Exports may drop, widening first global deficit in five years

BANGKOK: -- Thailand may produce less sugar than previously forecast as a drought parches crops, potentially reducing exports from the world’s largest shipper after Brazil.

Production is estimated at about 10 million metric tons in the season that began in November from a cane harvest of 100 million tons, said Somsak Jantararoungtong, secretary general at the nation’s Office of the Cane and Sugar Board. That would be 14 percent less than an earlier estimate of 11.6 million tons, he said.

Sugar prices in New York have rebounded 43 percent since reaching a seven-year low in August after El Nino cut the sucrose content in sugar cane grown in Brazil as well as yields in Thailand and India. Lower supplies from the top producers may widen a global shortage that’s forecast at 5.3 million tons in 2015-16 by Platts Kingsman, a unit of McGraw Hill Financial Inc.

Full story: http://www.bloomberg.com/news/articles/2016-01-22/thailand-trims-sugar-output-estimate-as-drought-shrivels-crops

-- Bloomberg Business 2016-01-22

[PatOngo]

Here's an idea......a sugar pledging scheme!

[trogers]

Good news for farangs staying up North. There would be 14% less smog for your lungs...

[Srikcir]

"The Ministry of Industry and related agencies are keeping an eye on the global sugar price, as fear of a massive price drop grows.'

That announcement was made 11 months ago! What was the action plan now - watch?

[bangon04]

"The Ministry of Industry and related agencies are keeping an eye on the global sugar price, as fear of a massive price drop grows.'

That announcement was made 11 months ago! What was the action plan now - watch?

That would be just silly. Of course they are going to form a committee of generals with no experience of sugar industry, arrange a fact-finding trip to Brazil so they can mull their options.