Global Sugar Production Surge Pressures Prices, Exports

U.S. sugar producers and processors should brace for price pressure and challenging export logistics with global sugar supply ramping up — driven by Brazil, India, and Thailand — especially at the raw processing level.

sugarcane.jpg

NASHVILLE, TENN. (RFD-TV) — Sugar output in major producing nations is climbing, putting pressure on global sugar prices and export premiums. In Brazil’s Center-South region, crushing for sugar rose to 48 percent of cane processed in early October — up from 47 percent a year earlier — and cumulative sugar output for the 2025-26 season in that region is already up one percent year-over-year.

India and Thailand are also contributing to the supply picture. India’s sugar production for this season is expected to rise roughly 18 percent to about 34.9 million tons, helped by a strong monsoon and expanded planted area. In comparison, Thailand projects a five-percent increase to around 10.5 million tons. These gains, combined with Brazil’s growth, are shaping expectations of a global surplus. Analysts now estimate a sugar surplus at between 4 million and 10.5 million tons, driving raw sugar futures toward multi-year lows.

For U.S. sugar producers and processors, the weaker global price environment means tighter margins ahead. Export opportunities may be more challenging to exploit unless carriers and freight logistics improve, while domestic processors face headwinds in converting cane or beet crops into premium refined products.

Farm-Level Takeaway: With global sugar supply ramping up — driven by Brazil, India, and Thailand — especially at the raw processing level, U.S. sugar producers and processors should brace for price pressure and challenging export logistics.
Tony St. James, RFD-TV Markets Expert
Related Stories
Michael and Fredrick Hawkins of Hawkins Cattle Company share about their upcoming Cattle 101 event in Texas, designed to introduce young people and families to beef production and agricultural careers.
StoneX Director of Fertilizer Josh Linville discusses global supply pressures, fertilizer price volatility, and purchasing strategies for farmers preparing for fall applications and the 2027 growing season.
Other crops appear to have escaped the storm without many issues.
Some beans are showing discoloration that could complicate export sales.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Rising imports are putting new focus on how domestic and foreign suppliers can grow U.S. lamb demand.
Record 2025 payments are approaching, but producers must make a new ARC or PLC election for 2026.
Rain Shifts Drought And Harvest Conditions Across States
Wider adoption by ocean carriers could create another demand outlet for U.S. ethanol.
The new process could open the tax credit to newer and less-common biofuels.
A new route to Pacific ports could lower costs and shorten shipping times to Asian markets.
Stronger export and crush demand could help offset pressure from USDA’s record yield forecast.
Producers able to hold grain could find better marketing opportunities after the main harvest window.
Lenders are watching repayment capacity as uncertainty around crop profitability continues
New systems could give producers easier electronic access to acreage records and federal loan information.
Farm income climbed in 2025, but high production expenses continued to limit gains for producers.
EPA is considering when to restore 770 million renewable fuel credits lost through refinery exemptions.