Sugar production globally has grown exponentially in the last decade and it continues to do so until now. In 2019, the world produced 1,317 million metric tons of sugar, which was 2 percent higher than in 2018 and 8 percent higher than in 2000. The total global production of sugar from cane and beet had increased to 1,382 million metric tons in 2020, as per data by the Food and Agriculture Organization (FAO). More than half of that sugar production came from Brazil, India, China, and Mexico. The top 10 sugar-producing countries were responsible for 54 percent of the total global output in 2021-2022.
Sugar Import in India has been growing at a fast pace during the past years, and this trend is expected to continue over the next eight years. Sugar import in India has been growing at a fast pace during the past years, and this trend is expected to continue over the next eight years. Sugar import in India accounts for around 10% of total sugar imports in Asia-Pacific region, which in 2015 was pegged at US$9 billion. This will further increase due to a growing demand in the Indian market due to changing lifestyle and increasing population of India which will drive growth of the sugar import market over the forecast period from 2016 to 2022.
India’s exports of sugar to Morocco stood at US$1.32 million in 2016, according to Trading Economics global macro models and the latest IMF data. In the long term, the Indian Sugar Exports to Morocco was projected to trend around US$1.36 million in 2020, according to our econometric models. India’s exports of sugar to Morocco are expected to increase 97.2% from 2016 to 2020 at an estimated annual rate of 9.6%.
Sugar prices have been on a steady rise over the past few months, lack of supply is the reason. But the demand for Indian sugars has seen an overwhelming increase from global markets. This is due to the shortfall in production in Brazil, which has led to exports at lesser margins. The fall in the value of the Rupee has also been beneficial to Indian exporters.
The start of the year 2022 witnessed a drop in global raw sugar price by more than 10 percent from a multi-year high that was achieved in November 2021 in response to increasing global supplies. There will also be additional pressure on sugar with the annual rebalancing of commodity indexes. The supply woes are expected to ease out with better prospects for Brazil sugar harvest in the upcoming season starting in April and a bigger crop of sugar in India.