Sugar Market Slides Further โ Global Harvest Pressure Reaches EU Prices
On 27 May 2025, ICE Sugar No.5 futures
continued to decline, with the
August 2025 contract closing at USD 482.60/t (EUR 448.82/t), down 0.21%. While losses were modest, the trend remains negative.
Even EU spot prices softened for the first time in weeks, now quoted between
EUR 0.54โ0.56/kg FCA. Expectations of
record harvests from Brazil and India further pressure both physical and futures markets.
๐ ICE Sugar No.5 โ Closing Summary (27.05.2025)
(Exchange rate: 1 USD = 0.93 EUR)
๐ช๐บ EU Market Snapshot โ Spot Prices Break Lower
๐ Spot prices in the EU fell slightly, now quoted at
EUR 0.54โ0.56/kg FCA, compared to 0.56โ0.59/kg earlier this month.๐ฆ Pressure is mounting from:
- Slow EU demand
- Increased availability of high-intensity sweeteners
- Record harvest expectations in Brazil and India๐ง Many traders report buy-side hesitation even at lower levels.
๐๏ธ Retail Sugar Prices (1 kg, verified 27.05.2025)
๐ Price Comparison Table
๐ Global Pressure: Record Harvests Ahead
๐พ
India and
Brazil are expected to deliver
record-breaking sugar crops in 2025.๐ข This adds export pressure, especially into markets like the EU, MENA, and Asia.๐ค๏ธ Weather in the Northern Hemisphere remains neutral-to-bearish for sugar โ no drought risk as of now.
๐ฎ 3-Day Forecast (28โ30 May 2025)
๐
Outlook:Short-term pressure is likely to persist. Traders eye USD 475/t as key support.
๐งญ Conclusion & Strategy
๐ Market sentiment remains weak โ technicals and fundamentals aligned to downside.๐ฆ EU sellers are slowly adjusting FCA offers, but buyers remain conservative.๐ Global harvest news overshadows local pricing strategies.
๐ Recommendations:
- ๐ Buyers: Advantageous position โ push for FCA below EUR 0.55/kg.
- ๐ฆ Sellers: Lower forward targets โ focus on export flexibility.
- ๐ Traders: Momentum still bearish โ avoid premature long entries.
๐
Summary:Futures and EU prices are slipping hand in hand โ global oversupply sentiment dominates. Without weather disruption, bulls are unlikely to return.
