Sugar Prices Slip Again โ Rebound Loses Steam as Fundamentals Weigh
๐ Sugar Prices Slip Again โ Rebound Loses Steam as Fundamentals Weigh
ICE Sugar No. 5 futures declined again on 23 April 2025. The August 2025 contract lost 0.50% to USD 503.30/t (EUR 467.07/t), while the entire forward curve traded weaker. Despite a recent short-term recovery, sugar remains under pressure from ample global supply, weak demand, and a lack of institutional buying interest. The EU spot market remains stable but disconnected from global dynamics.๐ ICE Sugar No. 5 โ Closing Summary (23.04.2025)
(Exchange rate: 1 USD = 0.93 EUR)๐งญ Market Observations
๐ป Momentum Fades โ Short-Term Buyers Step Backโ After two sessions of recovery, prices turned negative again.โ Weak fundamentals prevail, with no fresh demand drivers.๐ช๐บ EU Pricing Remains Elevated โ Policy Shield Holdsโ Spot offers unchanged at EUR 0.56โ0.59/kg FCA.โ Import pressure remains low due to quota controls and delayed Mercosur ratification.
๐๏ธ Retail Market Stable But Unsupportiveโ Supermarket shelf prices remain disconnected from industrial offers, especially in Eastern and Central Europe.
๐ Current 1โฏkg Retail Sugar Prices (as of 23.04.2025)
Last verified within the last 3 days.๐ฎ 3-Day Price Forecast (24โ26 April 2025)
๐ Outlook:Expect continued sideways-to-weaker movement. Only fresh demand or political developments (Mercosur, Brazil policy) could shift the trend.๐ Global Sugar Balance Sheet (2021โ2025f)
๐งญ Conclusion & Strategy
โ Market consolidates again โ short-term gains rolled back.โ EU prices remain overvalued โ artificially supported.๐ Retail levels and global benchmarks remain unsupportive of EU forward pricing.๐ Recommendations:
- ๐ Buyers: Continue to negotiate โ fundamentals favour discounts.
- ๐ฆ Sellers: Reassess pricing policy โ rising resistance from industrial clients.
- ๐ Traders: Volatility declining โ focus shifts to macro triggers and politics.
