Sugar prices seen up as Brazil cane output may fall.

Prices of sugar in global markets are expected to rise in the year ahead due to a likely fall in sugarcane production in Brazil. The company goes with the Brazil sugarcane industry association estimate of cane-crushing at 585 million tonne sugarcane in 2017-18, down 3.7% on year. Strong possibility of El Nino phenomenon in the year and eventual heavy rains would take a hit on cane production. The Centre-South region of Brazil which produces 90% of the country total sugar output produced 35.63 million tonne sugar during 2016-17 (Apr-Mar), up 14.1% on year.