Investing.com – Sugar futures were up for a third day on Monday, hitting a four-week high as lingering fears over sugar crop conditions in Thailand, the world’s second largest producer of the sweetener, continued to boost prices.
On the ICE Futures U.S. Exchange, sugar futures for March delivery traded at USD0.2801 a pound during European afternoon trade, climbing 0.37%.
It earlier rose by as much as 0.65% to trade at USD0.2834 a pound, the highest price since September 16.
Concerns over Thailand’s sugar harvest continued after the nation’s Office of Cane and Sugar said earlier Monday that Thailand’s worst flooding in more than 50 years was expected to delay the 2011/12 cane-crushing season by a few weeks to late November.
Prasert Tapaneeyangkul, Secretary General of the OCS, said that nearly 3.4 million acres of land in key growing regions in northern Thailand remained under water.
"We could start crushing the 2011-12 sugar season by late November when we will be able to say how much cane has been damaged," Mr. Tapaneeyangkul said.
Crushing had been expected to start by late October. Thailand is the world's second largest sugar exporter after Brazil and has estimated its sugar cane output at 99.4 million tonnes in the 2011-12 season.
Sugar futures found further support after Newedge Group, the biggest U.S. sugar futures broker said that Malaysia may be seeking to import 800,000 metric tons of raw sugar annually over the next three years.
The firm’s senior vice president of commodities Michael McDougall said at an industry event over the weekend that while the Asian country was bidding at below-market prices for the supply, “they have at least put a temporary floor to the market.”
Newedge Group is co-owned by French banks Societe Generale and Credit Agricole.
Elsewhere, on the Chicago Mercantile Exchange, wheat for December delivery eased up 0.18% to trade at USD6.2375 a bushel, corn for December delivery shed 0.44% to trade at USD6.3738 a bushel, while soybeans for November delivery fell 1.05% to trade at USD12.5662 a bushel.
On the ICE Futures U.S. Exchange, sugar futures for March delivery traded at USD0.2801 a pound during European afternoon trade, climbing 0.37%.
It earlier rose by as much as 0.65% to trade at USD0.2834 a pound, the highest price since September 16.
Concerns over Thailand’s sugar harvest continued after the nation’s Office of Cane and Sugar said earlier Monday that Thailand’s worst flooding in more than 50 years was expected to delay the 2011/12 cane-crushing season by a few weeks to late November.
Prasert Tapaneeyangkul, Secretary General of the OCS, said that nearly 3.4 million acres of land in key growing regions in northern Thailand remained under water.
"We could start crushing the 2011-12 sugar season by late November when we will be able to say how much cane has been damaged," Mr. Tapaneeyangkul said.
Crushing had been expected to start by late October. Thailand is the world's second largest sugar exporter after Brazil and has estimated its sugar cane output at 99.4 million tonnes in the 2011-12 season.
Sugar futures found further support after Newedge Group, the biggest U.S. sugar futures broker said that Malaysia may be seeking to import 800,000 metric tons of raw sugar annually over the next three years.
The firm’s senior vice president of commodities Michael McDougall said at an industry event over the weekend that while the Asian country was bidding at below-market prices for the supply, “they have at least put a temporary floor to the market.”
Newedge Group is co-owned by French banks Societe Generale and Credit Agricole.
Elsewhere, on the Chicago Mercantile Exchange, wheat for December delivery eased up 0.18% to trade at USD6.2375 a bushel, corn for December delivery shed 0.44% to trade at USD6.3738 a bushel, while soybeans for November delivery fell 1.05% to trade at USD12.5662 a bushel.