BEFORE the headline topic, two non-technology issues for President Ferdinand Marcos Jr. to act upon. First, sugar may further spike from today's already high cost, with India, the world's No. 2 exporter after Brazil, facing drought-diminished yields in cane, as it did with rice. Thus, analysts see lower sugar exports in the year starting in October, with a predictable impact on world prices (https://tinyurl.com/4rbuust6).
Of sugar's price surge, The Netherlands' Rabobank recently summed up: 'Fears of El Niño's effects clearly underpinned the 40 percent rally seen so far this year.
India and Thailand are already dry, and output estimates have been revised lower. The biggest worry is whether reservoirs in India's key sugar-producing region of Maharashtra are low and unable to support growth for the 2024/25 season.'
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