Sugar prices crash by 30% globally
Sugar is a sweet commodity which is consumed by every human being (except acute diabetes patients) under the sun. And the prices of sugar had gone up by over 80% in the year 2009 , due to acute production shortfall in India and Brazil.
But over the last few weeks, there have been many positive news from these two large producers in terms of expected higher production in the new season.
That was enough to push down the prices by nearly 30% in the last few weeks, as with every passing day, Brazil indicated increased new season supplies. India is also now revising the new season production substantially, which in turn can once again make that country stop import of the sweet commodity.
And when India is out of the global sugar market, the sugar prices are always subdued, as there are no competing large consumers. Even speculators are seen unwinding their long position in sugar, as many big companies are also canceling their high price contracts , on the expectation of getting lower price deals few weeks down the line.
So after a gap of a turbulent year, sugar is once again turning sweeter for millions and millions of consumers across the globe.