Aug 2, 2010, 1:59 PM
Latest reports from the world's trading companies in Europe have stated that the recent deficit in sugar which resulted in the skyrocketing of its price was due to bad crop in 2008 and 2009 in
According to reports, sugar markets approximately doubled within 12 months to reach 30 years high and world sugar demand is about 57 million metric tones annually.
This year's world sugar export/supply, according to reports, is about 51 million metric tones, showing a deficit of about 5-6 million metric tones.
"Two main factors have created this deficit, and consequently brought up sugar towards the sky," reports suggest, indicating that the first factor was bad crop in 2008 and 2009 in
"The second factor was the bad weather which hit the centre of South Brazilian crop from September to December 2009, trimming drastically the pace of the harvest," reports indicated.
Eventually, reports noted, the low levels of stocks worldwide, the lowest level in 20 years, generates a very strong demand for the first two quarters of 2010.