Various industry analysts including Rabobank, FO Licht, VM Group-ABN Amro, Czarnikow and ED & F Man concede that while the probability global sugar surplus is real this year, this is unlikely to dampen sugar prices further as some of the big players, in particular China seek to rebuild their stocks. The broker Kingsman SA continues to maintain that global sugar surplus may rise to 10.575 million metric tonnes in 2011-2012. Rabobank is bit more cautious, predicting a surplus of 3 million tonnes, despite the recent announcement from Thailand noting an increase in sugar production by some 40% to 9.62 million… Login to continue

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