Severe Winter Hits China's Sugar Crop

January 13th, 2011
in Background

Bloomberg:  Sugar output in China, the third- biggest producer, may decline by as much as 300,000 metric tons after snow and frost this year damaged crops, Beijing-based brokerage Wanda Futures Co. said.  About 40 percent of the sugarcane in Guangxi, the biggest growing-region, may have been affected by freezing weather, analyst Cui Shiwei said by phone yesterday.

Follow up:

 The reduction in output is 4 percent of Wanda’s previous forecast for Guangxi, he said. Wanda Futures is the second-biggest brokerage by volume based on rankings by the Dalian Commodity Exchange.

Frost damaged about 13 percent of sugar crops in Guangxi, according to statistics given by the China News Service. Reduced output may boost imports of sugar, which surged 57 percent in January-November from the previous year as domestic output failed to keep pace with growing demand.

“It’s clear the cane has been damaged, and the market has expected China’s output to be 11 million to 11.5 million tons,” down from the initial forecast, said Parin Amatyakul, vice president of Mitr Phol Sugar Corp., Thailand’s biggest miller, by phone from Bangkok. “How it may boost imports depends on how much China has in reserves and when it buys.”

The China Sugar Association on Nov. 10 estimated Guangxi output in the crushing season that began in Nov. 1 to be 7.6 million tons, about 63 percent of China’s total of 12 million tons, according to Guangxi Sugar Market Net, the country’s biggest bulk-sugar exchange.

The forecasts are for China winter weather to worsen.  Read more at Bloomberg.....









Make a Comment

Econintersect wants your comments, data and opinion on the articles posted.  As the internet is a "war zone" of trolls, hackers and spammers - Econintersect must balance its defences against ease of commenting.  We have joined with Livefyre to manage our comment streams.

To comment, just click the "Sign In" button at the top-left corner of the comment box below. You can create a commenting account using your favorite social network such as Twitter, Facebook, Google+, LinkedIn or Open ID - or open a Livefyre account using your email address.















 navigate econintersect.com

Blogs

Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day
Weather

Newspapers

Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government
     

RSS Feeds / Social Media

Combined Econintersect Feed
Google+
Facebook
Twitter
Digg

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution

Contact

About

  Top Economics Site

Investing.com Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2016 Econintersect LLC - all rights reserved