UTRECHT (Commodity Online): With the sugar cane harvests for 2011-12 completed in India, Thailand and Brazil, the surpass produce is expected to weigh heavily on the global price of the commodity, according to a latest report released by Rabo Bank.
Presently, the price of sugar remains fairly well supported, largely owing to perceived shortage of export availability against the import demand.
According to the report, fro 2011-12, around 6 million tons of surplus production is expected and the total global cane production is estimated at 522 million tons.
India's sugar production is expected to be around 25.3 million tons but according to India's sugar industries, the output is expected to be more than 26 million tons and consumption is pegged at 22 million tons.
Meanwhile, according to reports, Thailand has crushed around 46 million tons while, Brazil has crushed around 492 million tons in 2011-12.
The global sugar production in 2011-12 is projected at a record 173.00 million tons.
In India's National Multi Commodity Exchange (NCDEX), sugar for March traded down 0.345 during the last week (13th February to 18th February 2012) form Rs 2891 to Rs 2881.
Sugar for March delivery in Inter-Continental Exchange (ICE) rose 0.16 cents to 24.86 cents per lb on 21st February. While, in NCDEX, the commodity traded at Rs 2869 per qtl.
