๐ Sugar Market Falls Sharply โ EU Sales Flat Despite Global Volatility
On 15 May 2025, ICE Sugar No. 5 futures dropped sharply across the board. The
August 2025 contract fell by 2.21% to USD 493.00/t (EUR 458.49/t) as technical selling and weak demand weighed on the market. Meanwhile,
EU physical sugar trade remains stagnant, with producers in Germany still attempting to raise prices, but competition from lower-priced suppliers keeps the
FCA spot level stable at EUR 0.56โ0.59/kg.
๐ ICE Sugar No.5 โ Closing Summary (15.05.2025)
(Exchange rate: 1 USD = 0.93 EUR)
๐ช๐บ EU Market Snapshot โ Spot Sales Stagnate
๐ Sales activity in the EU sugar market is muted.๐ FCA spot prices remain unchanged at
EUR 0.56โ0.59/kg.๐ง Traders report limited new demand from industrial buyers or re-exporters.โ ๏ธ
German producers continue to
push for price increases, but are undercut by
competing EU refiners and imports who maintain
aggressive offers at current levels.
๐๏ธ Current Retail Sugar Prices (1 kg, as of 15 May 2025)
๐ Price Comparison Table
๐ฎ 3-Day Price Forecast (16โ18 May 2025)
๐
Outlook:Further technical selling is likely unless physical demand recovers or macro factors shift.
๐งญ Conclusion & Strategy
๐ ICE prices corrected sharply โ the market shows hesitation after recent highs.๐ช๐บ EU remains unresponsive โ pricing battle continues between German refiners and cheaper EU alternatives.๐ Retail prices remain unaffected by futures volatility.
๐ Recommendations:
- ๐ Buyers: Use softening trend to renegotiate FCA spot deals; avoid offers above EUR 0.59/kg.
- ๐ฆ Sellers: Pressure on margins increases โ only best-positioned suppliers will hold price.
- ๐ Traders: Downside momentum is active โ watch support at USD 488/t closely.
๐
Summary:Global sugar prices dropped, but the EU market remains stubbornly flat. Structural oversupply and internal EU pricing tensions limit upside potential.
