Sugar prices settled higher on Wednesday, with London sugar posting a 4-week high, as the outlook for tighter future supplies lifted the market. Covrig Analytics now expects a global sugar deficit in 2026/27 of -300,000 metric tons, compared to a June forecast for a +100,000 metric ton surplus. Green Pool Commodity Specialists raised their global 2026/27 sugar deficit estimate to -3.3 million metric tons from a June estimate of -1.76 million metric tons, and StoneX raised its 2026/27 global sugar deficit forecast to -1.7 million metric tons from a May estimate of -550,000 metric tons. Concerns over India’s sugar crop and the potential for an El Niño weather pattern to disrupt production in Brazil, India, and Thailand are also supporting prices.
Tighter supply outlook with deficits forecast by multiple analysts and weather concerns support sugar prices.
