USDA ERS: Sugar and Sweeteners Outlook July 18, 2022

Sugar and Sweeteners Outlook July 18, 2022

U.S. Sugar Supply and Use Raised for 2022/23

In the July 2022 World Agricultural Supply and Demand Estimates, U.S. sugar supply in 2022/23 is raised from last month on a larger forecast of beet sugar production and imports after two sugar program announcements in July. Beet sugar production in 2022/23 is increased solely on larger expected sugarbeet acreage to offset the expected yield reduction due to delayed planting in May. The larger 2022/23 import forecast stems from the estimated spillover into fiscal year 2023 of the July 11 U.S. Department of Agriculture (USDA) action that increased the 2021/22 raw sugar tariff rate quota (TRQ) imports with an entry extension through October 31. There has been no announcement to date for the additional specialty sugar TRQ. U.S. sugar use in 2022/23 is increased with expectation that the strong pace seen in 2021/22 continues well into 2022/23.

Mexico’s exports to the United States are raised to a maximum level given the current Mexican balance sheet. The resulting stocks-to-use ratio is 12.4 percent, which is lower than the anticipated 13.5-percent stocks-to-use ratio stipulated in the sugar suspension agreements.

Vidalina Abadam, coordinator

Adeline Yeh, contributor

DW Montgomery & Company has provided extensive market and contractual expertise within the sugar industry for over 70 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, and David Montgomery III