SUGAR: U.S. fiscal year 2016/17 beet sugar production is decreased 110,000 short tons, raw value (STRV) to 4.996 million. Sucrose recovery from sugarbeet slicing, reported by processors in the Sweetener Market Data (SMD) report for the period covering August 2016 and February 2017 of this year’s sugarbeet harvest cycle, imply a final crop year recovery projection from slicing at 13.8 percent, slightly below last month’s 13.9 percent. In addition, the projected slicing of sugarbeets stored in piles is reduced on the basis of a 20 percent increase in shrink, or the percentage loss of piled beets estimated by beet processors. The new shrink factor is 7.0 percent, up from last month’s 5.8 percent. Sugarcane production for 2016/17 is reduced by 24,871 STRV mainly on the basis of reduced sucrose recovery expected by processors in Florida and Texas. Re-export imports for 2016/17 are increased by 150,000 STRV to 375,000, based on a survey of license holders’ intentions. Sugar exports are expected to increase 50,000 STRV to 125,000. Ending stocks for 2016/17 are projected at 1.642 million STRV, implying a stocks-to-use ratio of 13.3 percent.
Mexico sugar production for 2016/17 is decreased 184,677 metric tons (MT) to 6.186 million in agreement with the new estimate made by the Comité Nacional Para El Desarrollo Sustentable de la Caña de Azúcar (CONADESUCA) in Mexico. Deliveries for human consumption are likewise increased by 72,627 MT to 4.461 million and imports for consumption are increased by 15,000 MT to 25,000. These changes reflect adjustments based on observed production, deliveries, and imports made through the end of February. The ending stock forecast for 2016/17 is increased by 15,391 at 1.293 million MT, an amount projected by USDA to meet sugar supply requirements of domestic consumption and exports to the U.S. market for the first three months of the following marketing year. Although exports to the United States for 2016/17 are unchanged at 994,502 MT, total exports are reduced by 257,435 as residually determined shipments to third-countries are lowered.
Source : USDA WASDE