A European Commission analysis estimates that EU sugar production for 2024 will be 15.6 million tons, 7% above the previous season and in line with the 5-year average.

This is due to an increase in sugar beet acreage in some EU countries, especially in PL (+16% year-on-year), HU (+52%), and RO (+79%), as well as a recovery in sugar beet yields in IT (+49%), DE (+12%), and FR (+6%).

Global sugar production is also forecasted to increase in 2023/24.

Supported by a rise in domestic production and relatively high stock levels, EU sugar exports are projected to rise sharply, reaching a five-year high of 1.1 million tons in 2023/24 (+77% year-on-year).

After the sharp increase recorded last season, import levels are expected to decrease by 26% in 2024, down to 1.9 million tons.

The higher production has also coincided with the relative stabilization of EU sugar prices. The average EU price in February 2024 was EUR 837/t (up 4% from February 2023, but down 2% from the peak of EUR 856/t in December 2023).

Global sugar prices also peaked in November 2023. Given the second-largest global production in 2023/24, sugar prices might be under pressure for further reductions, though fairly limited. (Photo: Freepik)