The price of any commodity be it rice, wheat, or sugar, depend upon market factors that indicate whether or not the commodity will have a demand in the market. In case it seems that the demand is strong reflecting higher market interest to buy, the price of the commodity rise. Else, in case of low market demand, the price of the commodity falls.
Located in Asia, India is the largest sugar producer in the world and the Asian nation ranks second behind Brazil in terms of sugar exports. The Government of India (GOI) has granted the sugar mills of the country permission to export 6.1 million tonnes of sugar, by the end of May 2023. As per sources India has already signed contracts for exports of 5.6 million tonnes of the sweetener.
Located in Asia, India is the largest sugar producer and the second largest Sugar Exporter in the world behind Brazil. Following an increase in the global demand for sugar, sugar exporters demanded a hike in prices for their already-signed contracts as they wished to take advantage of the high global prices. Sugar prices on 2nd of December 22 posted moderate losses due to an increased output of sugar in India.
Located in Asia, India is the biggest producer of sugar and is the second largest sugar exporter in the world. The country is known for exporting huge volumes of fine quality sugar to countries around the world and as a result the sugar millers and exporters of the country enjoy a good demand for the sweetener all-round the year.
Online B2B ecommerce platforms have brought a new sunrise in the life of small agro commodities traders till now trading agro commodities in usual traditional manner. B2B platforms are taking care of many issues that small agro traders usually face in agricultural commodities trading while trading the traditional way. Let us take a look at latest developments in agro commodities market and the difficulties faced by small agro traders in India on account of those developments:
An important agro-based industry, sugar is a big business in India. Around 50 million sugarcane farmers and 5 lakh workers are directly employed in sugar mills in the country. Employment is generated through ancillary activities pertaining to transport, servicing of machinery, and supply of agricultural inputs as well.
The second largest producer of sugar, India contributes around 20% of the global supply. There are around 5 crore farmers employed and thousands of mills all across the country manufacturing and supplying sugar to cater to our sweet tooth. This is an emerging sugar industry in the country that we are talking about here.
The sugar industry comprises the production, processing and marketing of sugars. Sugar beets and sugarcanes have the largest percentages of sugar among different types of plants. This is why they are the most preferred choices when it comes to extraction. The global sugar market attained a volume of 193.2 million tons in 2020. This growth is expected to continue with the forecast for 2026 by independent market research firms to be around 202.1 million tons.
The global sugar trade is around 64 million tons per year. Raw sugar accounts for around 60% of worldwide commerce volumes. Although more than 120 nations produce sugar, the top 5 Sugar Exporting Countries (Brazil, Thailand, India, Australia, and Guatemala) accounted for approximately 70% of global commerce in 2016-18.
Sugar is derived from two major crops: sugarcane and sugar beet, which are grown in various regions across the world. Sugar beet grows best in chilly, wetter climates. There are more than 120 Sugar Producing Nations around the globe.