India is anticipating a prolonged period of reduced sugar exports. This shortfall is being driven by the impact of El Nino, which is threatening sugarcane output by weakening the monsoon seasons.
According to Food Business Africa, the situation is further complicated by an increase in demand for ethanol. These combined factors are tightening the global supply of sugar.
The reduction in available exports from India is likely to provide support for international sugar prices as the market adjusts to the scarcity.
