This update is from Sosland Publishing Co.’s weekly Sweetener Report. This update is from Sosland Publishing’s Sweetener Report. For more information and subscription details, CLICK HERE.
Insight Focus
- Consumers uncertain over demand for products, especially those containing cocoa.
- They may also be holding out for sugar price weakness.
- Beet processors continue to indicate for 2024/25 at 53-55c/lb.
Cash sugar sales for 2025 progressed at a steady but slow pace in the week ended April 5. Spot and forward prices were unchanged.
Beet processors indicated contracts for 2024-25 continued to circle back, adding to their sales volume for next year. All processors remained in the market, although one was well enough sold that it was limiting the volume on some offers rather than withdrawing from the market.
Bulk refined beet sugar for 2024-25 was offered at 53¢ to 55¢ a lb f.o.b. Midwest with variations above and below that range depending on volume. Bulk refined cane sugar for 2025 was offered at 60¢ a lb f.o.b. Northeast and West Coast and 56¢ to 58¢ f.o.b. Southeast and Gulf.
Buyers remained in no rush to contract sugar for 2025 because of uncertainty about demand for their own products, especially if they contained cocoa or chocolate, and because some hoped for price weakness, which currently appears unlikely as beet processors may be more apt to raise prices to slow sales once they hit specific sales targets.
Sugar beet planting for 2024 was underway but was slowed by wet and wintry weather in northern states. Sugar beets as of March 31 were 3% planted in Idaho, 5% planted in Colorado and 60% planted in Oregon.
Louisiana sugar cane ratings were the highest for the date since at least 2016. The crop was rated 77% good-to-excellent as of March 31, the USDA state office said.
Beet sugar was offered for 2024 steady at 55¢ to 58¢ a lb f.o.b. Midwest. Refined cane sugar for 2024 was offered steady at 62¢ a lb f.o.b. Northeast and West Coast and at 58¢ to 60¢ a lb f.o.b. Southeast and Gulf. One beet processor was withdrawn from the 2024 market, one was selling only spot and others remained active.
The 2024 beet slicing campaign was in various stages depending on processor. Slicing operations were complete for the Western Sugar Cooperative with juice runs ongoing. The Michigan Sugar Co. was expected to be done before mid-April, slightly earlier than forecast as culling of beet piles due to warm winter weather resulted in fewer beets to slice. Other processors will run longer to work through larger beet supplies, with concerns about beet spoilage increasing the longer they run into the spring.
Refined sugar deliveries for 2024 were mixed, with some processors indicating an improvement in the past couple of months and others still seeing slow shipments to certain sectors.
Two alternate channels were opened in the Port of Baltimore but not for cargo vessels. The main channel is expected to be open by April 30 for roll on/roll off carriers and for larger vessels by May 31, when port activity is expected to resume normal levels, the Army Corps of Engineers said.
Corn sweetener markets were quiet. Corn planted area in 2024 was forecast down 5% from 2023, but corn supplies are expected to remain ample, limiting gains in 2025 corn sweetener prices.
