Green Pool trims 2026/27 global sugar deficit forecast

Green Pool announced on Thursday that the global sugar deficit for 2026/27 will be "slightly less than originally expected" due to an improved 'outlook' for production in India.

The Australia-based analyst for sugar and biofuels projected a shortfall of 3,24 million metric tonnes in 2026/27 compared to a previous estimate of?a 3,34 million metric tonne deficit.

Green Pool stated that despite the downward revision of forecasts in Europe and Britain due to severe drought, 'the global production outlook is little changed.

Green Pool stated that "this is due to the higher area and encouraging beet test results in Russia as well as an assumption that India would reduce its sucrose diverted for fuel ethanol in India to a minimum by 26/27."

India has taken steps to reduce record domestic sugar prices, including inventory limits and duty free imports.

Green Pool has raised its estimate for India's production of sugar to 30?million metric tonnes, up from 29.7?million. The outlook for Russia, however, was revised upwards from 6.35?million to 6.45?million.

The analyst said that the forecast was cut by 330,000 metric tons for 'European Union production to 13 million tons. Further declines are possible. Nigel Hunt, Nigel Hunt's Editorial Assistant Sonia Cheema.

(source: Reuters)