World sugar production in the 2023/24 marketing year reached 186.6 million tons, which is 2.8 million tons more than in the previous period. The main drivers of growth are China, India and Thailand, which were able to compensate for the decline in production in Brazil. This is stated in the report of the United States Department of Agriculture (USDA).

Demand for sugar also set a new record due to the rapid growth of consumption in India. Although Thailand increased its exports, it could not keep up with global indicators: world exports decreased by 40 thousand tons, reaching 770 thousand tons. The main markets remain South Africa, Malaysia, South Korea and the United Kingdom.

South Africa took drastic measures to support its industry in August 2024, doubling its import duty on sugar to 2,348.9 rand ($130.41) per tonne. The move is aimed at protecting domestic producers in the face of falling world prices. At the same time, regional integration with Eswatini, a member of the Southern African Customs Union (SACU), allows for the avoidance of duties on 93% of imports.

November saw further market developments. Global production rose by 332,000 tonnes to 183.8 million tonnes, largely due to favourable conditions in Turkey, where production rose by 300,000 tonnes to 3.4 million tonnes. Meanwhile, sugar imports rose by 3 million tonnes to 59.9 million, with significant increases in Egypt (+900,000 tonnes), the UAE (+589,000 tonnes) and Libya (+101,000 tonnes).

World exports continued to decline, falling by 4.9 million tonnes to 63.3 million tonnes, mainly due to a near-halving of supplies from Thailand to 5.1 million tonnes. At the same time, global ending sugar stocks rose significantly, by 8.2 million tonnes to 80.4 million. India added 1.2 million tonnes to its reserves, reaching 11.7 million tonnes, while Thailand’s stocks almost doubled to 10.3 million tonnes.

Despite the increase in production, the market remains volatile due to price fluctuations, reduced exports from key countries and uneven distribution of stocks. Domestic policies, including tariff increases, are aimed at maintaining the stability of the industry and supporting domestic producers. However, global challenges require a comprehensive approach to addressing the problems of food market stability.