Global Sugar Market Trends
Sugar Market Report – September 18, 2025
Global Market Trends
International Sugar Futures
NYBOT (March): Fell 1.75%, closing at 16.27 c/lb (down 0.29).
LIFFE (December): Declined 1.44%, settling at USD 459.10/MT (down USD 6.70).
Weak crude oil prices and profit-booking by funds added pressure to futures.
Currency Movements
USD/BRL : At 5.31, slightly weaker, encouraging Brazilian exports.
USD/INR : At 87.91, supporting India’s export competitiveness if approvals are granted.
Crude Oil Benchmarks
WTI : USD 64.10/bbl
Brent : USD 67.95/bbl
Indian Basket (PPAC, 17 Sept 2025): USD 69.79/bbl (~₹5,579/bbl)
Falling energy prices continue to weaken ethanol parity and put downward pressure on sugar globally.
Indian Market Developments
Ex-Mill Sugar Prices (without GST, ₹/quintal):
Maharashtra (S-30): ₹3850–₹3890
Uttar Pradesh: ₹3950–₹4000
Karnataka: ₹3870–₹3910
Gujarat: ₹3860–₹3900
Tamil Nadu: ₹3920–₹3970
Bihar: ₹3900–₹3950
(Prices are indicative and vary slightly by region/mill.)
Industry Advocacy:
The Indian Sugar Industry is pressing the government for 1 MMT export permission starting October 2025 to manage expected surplus and stabilize domestic prices. Industry leaders are in active dialogue with the Ministry of Consumer Affairs and the Ministry of Commerce.
Ethanol Procurement Outlook:
PSU tender for 2025-26 ethanol procurement is expected shortly. This will ensure consistent offtake for distilleries, strengthening integrated sugar mills with ethanol capacities.
Equity Market Movement
NSE/BSE Sugar Stocks:
Tuesday (Sept 16): Gained ~1% on average.
Wednesday (Sept 17): Surged 3%+ on export hopes and ethanol procurement news.
Two-Day Rally: Nearly 4%, led by integrated players with strong ethanol portfolios.
Investor sentiment remains upbeat with expectations of policy support for both exports and ethanol.
Market Outlook
Domestic : Prices are stable to firm in the range of ₹3850–₹4000/quintal, supported by festive demand and industry lobbying for exports.
Global : International prices may remain under pressure in the near term due to weak crude oil and strong Brazilian supplies. Indian export decisions will be a key driver of sentiment.
Equities : Sugar stocks may extend gains if the government clears 1 MMT of exports and PSU ethanol tenders are floated as expected.
Summary
Global futures corrected on NYBOT & LIFFE.
INR depreciation improves Indian export competitiveness.
Indian Basket crude oil at USD 69.79/bbl adds context to energy-sugar dynamics.
State-wise ex-mill prices steady across ₹3850–₹4000/quintal.
Industry seeks 1 MMT exports; PSU ethanol tender imminent.
Sugar stocks gained 4% in two days on positive policy expectations.
