USDA: Brazil’s sugar production forecast has been adjusted downward to 43MT.

Mathili–Market Commentry– (1 month ago)
  • In 2024, Brazil faced severe weather challenges, including a rise in heat waves across multiple regions.
  • Although the complete impact of fires on sugarcane production is still uncertain, officials believe that the overall damage will not greatly reduce the country’s total sugar output for the 2024-25 marketing year. The sugarcane production estimate remains at 645 million metric tonnes.
  • However, unfavorable climate conditions in the crucial sugarcane-growing center-south region have prompted a revision of sugarcane production to 590 million tonnes, reflecting a 1.7% decline.
  • As a result, the projected sugar production in Brazil for 2024-25 has been revised from 44 million to 43 million tonnes, primarily due to a decline in sugarcane quality.

Source: Chinimandi, USDA