Sector News

EU sugar exports may have already peaked -Suedzucker

May 15, 2018
Food & Drink

European Union exports of sugar since the region abolished production limits may have already hit their peak, as global supplies swell in other key regions, said an executive with Europe’s largest producer Suedzucker AG.

EU exports will total about 1.4-2.4 million tonnes in 2018/19, down from 3.2 million in the current crop year, Suedzucker’s head of global markets Friedrich Becker said in an interview with Reuters.

European beet producers ramped up plantings in anticipation of the end of EU production quotas in October 2017, with production jumping more than one-fifth in the current crop year, according to U.S. government estimates. But plans for growth have been curbed as global sugar prices have plumbed multi-year lows due to swelling production in India and Thailand.

Beet producers in the region have kept plantings stable compared with 2017/18. The lower end of the range assumes lower yields and potentially lower import figures, Becker said, noting imports are a swing factor.

“I think we have seen the peak of EU exports,” he said.

A previous record for EU exports was 6.9 million tonnes, prior to the introduction of the now-defunct quota system, Becker said.

Prior to the end of the quota system, Suedzucker exported “small quantities” of just about 200,000 tonnes to local distributions, Becker said.

Suedzucker expanded its unit for trading in advance of the 2017 policy shift, and exports jumped above 800,000 tonnes to the Middle East and Northern and Western Africa.

By Chris Prentice

Source: Reuters

comments closed

Related News

June 24, 2022

Carlsberg announces resignation of CFO Heine Dalsgaard

Food & Drink

Carlsberg has announced the departure of its chief financial officer (CFO), Heine Dalsgaard, after six years in the position. In a statement, Carlsberg said that Dalsgaard was resigning from the post to take up the role of CFO at a private equity-backed company in a different industry.

June 24, 2022

Kellogg to split into three companies, focus on snacks

Food & Drink

Kellogg will split into three independent companies to focus on the snack business, Reuters reported Tuesday. The snacking portfolio will comprise the main business, while the North America cereal unit and the plant-based business will be spun off. The company is also considering a sale of the plant-based business.

June 24, 2022

Mondelēz to buy energy bar company Clif Bar for $2.9bn

Food & Drink

The snacks giant says the acquisition will help build on its commitment to “lead the future of snacking” in key geographies worldwide. Once the transaction is completed, Mondelēz will continue to operate the Clif Bar business from its headquarters in Emeryville, California. The snack giant will also continue to manufacture Clif Bars’ products, which include Clif Bar, Luna and Clif Kid, at its facilities in Idaho and Indiana.