Sugar & Sweeteners Outlook, September 2017
Recent Hurricanes in the Southeast Disrupt U.S. Sugar Market
The September World Agricultural Supply and Demand Estimates (WASDE) lowered projected domestic sugar production in 2017/18 by 41,000 short tons, raw value (STRV) from the previous month’s report. Cane sugar production is increased 10,000 STRV based on higher production in Texas. Hurricane Harvey made landfall on the Texas coast in late-August. The sugarcane-producing regions in Texas and Louisiana are not expected to see significant impacts on their sugar production, however. Hurricane Irma made landfall in Florida in early-September. The impact on Florida’s sugar production for 2017/18 has not yet been assessed, and this month’s projections do not yet take the storm into account. Beet sugar production for 2017/18 is lowered 51,000 STRV. That reduction is due to additional production from the crop currently being harvested, arriving during the early-season period before October 1. Estimated imports from Mexico in 2016/17 are lowered, while projected imports are raised in 2017/18 due to an increase in Mexico’s available supplies.
The September Sugar & Sweeteners Outlook report and previous reports are available here: