📉 Sugar Market Drops Sharply – Pressure Increases as EU Spot Prices Hold Firm

On 7 May 2025, ICE Sugar No. 5 futures experienced a broad sell-off. The August 2025 contract fell by 1.73% to USD 485.40/t (EUR 451.42/t). All active contracts declined, with front-end pressure intensifying. Meanwhile, EU FCA spot offers remain stubbornly high at EUR 0.57–0.60/kg, deepening the disconnect between global and EU pricing.

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📊 ICE Sugar No. 5 – Closing Summary (07.05.2025)

(Exchange rate: 1 USD = 0.93 EUR)

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🧭 Market Commentary

📉 Across-the-Board Declines– Futures fell sharply across all active months, with no technical support holding.– The market remains under pressure from ample supply and weak demand, especially from Asian buyers.

🇪🇺 EU Prices Unchanged – Policy Support Keeps Gap Intact– FCA spot prices continue at EUR 0.57–0.60/kg, well above world market equivalents.– EU market remains protected by tariff structure; no signs of easing in domestic offers.

🛒 Retail Price Stability vs Industrial Premiums– Central and Eastern Europe retail prices remain below EUR 0.70/kg.– Industrial buyers question the sustainability of elevated FCA offers.

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🛒 Current 1 kg Retail Sugar Prices (as of 07.05.2025)

Last verified within 3 days.

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🔮 3-Day Price Forecast (08–10 May 2025)

📌 Outlook:The market is likely to remain under pressure without fresh demand or supply-side shocks. Technical breakdown levels are now in play.

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📉 Global Sugar Balance Sheet (2021–2025f)

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🧭 Conclusion & Strategy

✅ Sugar prices continue to slide across maturities.❌ EU spot offers remain unchanged – despite mounting global weakness.📉 Retail market signals suggest no pass-through from industrial costs.

📌 Recommendations:

• 🛒 Buyers: Push hard on EU spot offers – world market pricing supports significant discounting.
• 📦 Sellers: Focus on volume-based deals; reduce forward expectations.
• 📊 Traders: Market may retest support at USD 475/t – caution warranted.

📍 Summary: Sugar is under pressure, and the policy divide between the EU and the rest of the world is only widening.

ICE Sugar No. 5 price history (August 2025 contract) for the last 10 trading days:

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📊 Price History – August 2025 Contract (USD/t & EUR/t)

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