Sugar Production in Brazil: Not a Very Sweet Perspective for 2015/2016

Sugar is an important commodity considered to be one of the main raw materials by the biggest producers of food and beverages in the world. The amount of global production as well as their price, will affect their decisions regarding the supply chain and thus, it is important to keep informed about the latest trends and future perspectives.

Brazilian sugar production up to September

Brazil is the world´s largest producer and exporter of sugar, being responsible for 20% of the total production and for 41% of the total global exports. For the year 2015/2016 a figure of 173 million tons of sugar is expected to be produced, and up to September 2015, Brazil is contributing with more than 35 million tons.

Nevertheless, for the season 2015/2016, production of sugar will drop in Brazil in comparison to the previous year, as the mix product from the sugar cane will be of 59% towards the production of ethanol and the remaining 41% towards sugar. Such percentage represents a decrease of almost 3% in comparison to the 2014/2015 harvesting season.