USDA ERS: Sugar and Sweeteners Outlook February 2019

Sugar and Sweeteners Outlook February 2019

Increased Domestic Production Raises U.S. Sugar Supplies in 2018/19

In the February World Agricultural Supply and Demand Estimates (WASDE), U.S. sugar supplies for 2018/19 are projected to be 132,000 short tons, raw value (STRV) larger than in the previous WASDE. This increase is due to 60,000 STRV of higher beginning stocks and 76,000 STRV from increased cane sugar production being only slightly offset by 4,000 STRV fewer projected imports. No changes were made to sugar use projections. Ending stocks are projected to total 1.795 million STRV, or a 14.6- percent stocks-to-use ratio compared with the previous month’s projection of 13.5 percent.

There were no changes to the Mexico sugar supply and use table. Domestic production in Mexico is projected to total 6.025 million metric tons, actual value. Despite substantially higher exports to non- U.S. destinations, ending stocks are projected to be 1.330 million MT, or a relatively high stocks-to- consumption ratio of 30.1 percent.

Michael McConnell, coordinator

DW Montgomery & Company has provided extensive market and contractual expertise within the sugar industry for over 60 years. Our family has now three generations working within the business and has grown to include a large variety of organic and natural ingredients. It is our pleasure to serve you and assist you in your purchasing needs.

All the best,

David Montgomery, Jr., Paul Montgomery, Andrew Montgomery, David Montgomery III, and Jody Payne