Sugar Futures Plunge to Over 3-Week Low

2026-10-26 16:01 By Luisa Carvalho 1 min. read

US sugar futures slipped over 6% to trade below 19 cents per pound, their lowest since late September, pressured by lower oil prices and a weaker Brazilian real following the presidential election results.

Cheaper oil can make ethanol less competitive, potentially encouraging Brazilian mills to favor sugar production, while a weaker real makes exports more attractive to international buyers.

Meanwhile, improved weather in Brazil's key Center-South region has enabled sugarcane harvesting and milling to resume after recent rains disrupted operations, raising expectations of increased short-term supply.

Recent UNICA data showed that cumulative cane crushing through August rose 1.8% year-on-year, while sugar production fell 10.3%, as mills allocated a larger share of cane to ethanol.

Meanwhile, India, the world’s second-largest sugar producer, is expected to harvest a smaller crop than a year earlier after a powerful El Niño contributed to one of the weakest monsoons in more than a decade.



News Stream
Sugar Futures Plunge to Over 3-Week Low
US sugar futures slipped over 6% to trade below 19 cents per pound, their lowest since late September, pressured by lower oil prices and a weaker Brazilian real following the presidential election results. Cheaper oil can make ethanol less competitive, potentially encouraging Brazilian mills to favor sugar production, while a weaker real makes exports more attractive to international buyers. Meanwhile, improved weather in Brazil's key Center-South region has enabled sugarcane harvesting and milling to resume after recent rains disrupted operations, raising expectations of increased short-term supply. Recent UNICA data showed that cumulative cane crushing through August rose 1.8% year-on-year, while sugar production fell 10.3%, as mills allocated a larger share of cane to ethanol. Meanwhile, India, the world’s second-largest sugar producer, is expected to harvest a smaller crop than a year earlier after a powerful El Niño contributed to one of the weakest monsoons in more than a decade.
2026-10-26
Sugar Futures Remain Above 20 Cents
US sugar futures stayed above 20 cents per pound, close to their highest level since February 2025, amid persistent concerns over tightening supplies and support from elevated oil prices. In top producer Brazil, excessive rainfall linked to El Niño disrupted sugarcane harvesting and crushing operations in the key Center-South region, delaying the harvest and leaving volumes below initial forecasts. Meanwhile, India, the world’s second-largest sugar producer, faces a smaller crop than a year earlier after a powerful El Niño contributed to the weakest monsoon in more than a decade. Insufficient rainfall in key sugarcane-growing regions, particularly Maharashtra and Karnataka, has raised concerns over lower yields. Against this backdrop, the government ordered state-owned fuel retailers to stop procuring ethanol produced from sugar and key sugarcane-based feedstocks from November 1, potentially redirecting more sugarcane supplies towards sugar production.
2026-10-20
Sugar Hits 19-month High
Sugar increased to 21.28 USd/Lbs, the highest since February 2025. Over the past 4 weeks, Sugar gained 18.01%, and in the last 12 months, it increased 34.94%.
2026-10-14