Trading of May raw sugar No. 11 in New York (SBK24) closed higher on Tuesday at +0.27 (20.87; +1.31%), while May white sugar ICE No. 5 in London (SWK24) settled at +1.30 (594.30; +0.22%), according to data from Barchart.
On Tuesday, sugar prices recovered after hitting a two-month low and showed a moderate increase. Short covering in the sugar futures market was triggered by forecasts from BP Bunge Bioenergia, stating that the global sugar deficit will reach -1.6 million tons by 2024/25 due to an expected 4.4% reduction in sugar production in Brazil to 40.8 million tons. This decrease will be caused by dry conditions negatively affecting sugarcane yields.