USDA ERS: Sugar and Sweeteners Outlook October 16, 2026
Sugar and Sweeteners Outlook October 16, 2026
U.S. Sugar Outlook
U.S. Beet Sugar Production Is Lowered for 2025/26 and 2026/27
U.S. fiscal year 2025/26 (October 2025–September 2026) beet sugar production is reduced from
last month by 38,000 STRV to 5.038 million, about 330,000-STRV lower than 2024/25, as
the increase in crop year sugar output is more than offset by a reduction in early season sugar
output. The 2025 crop year beet sugar production (August 2025–July 2026) is raised 21,000 STRV
to 5.148 million on final adjustments to sugarbeet shrink and sucrose recovery. The
current crop year’s (2026) early season production (August–September 2026), which is accounted
for in fiscal year 2025/26, is reduced 58,000 STRV to 596,000 STRV based on the beet
processors’ estimate published in the USDA, Farm Service Agency’s Sweetener Market Data
(SMD).
Amid the ongoing drought conditions, growers in some areas delayed harvest as they held out for
rain and gave additional time for sugarbeets to grow and store sugar. According to USDA’s
October 6 U.S. Agriculture in Drought report, about 48 percent of sugarbeet production is within an
area experiencing drought, down from the previous week’s 60 percent but higher than last year’s
34 percent. As of the USDA, National Agricultural Statistics Service (NASS) October 13 Crop
Progress report, overall sugar beet harvest for the 4 major producing U.S. States is 32 percent
complete, behind the 5-year average (36 percent).
Except for North Dakota, the current pace of harvest is lagging the 5-year average for Idaho, Michigan, and Minnesota
For fiscal year 2026/27, U.S. beet sugar production is reduced from last month by 27,000 STRV to
4.742 million, the lowest level since 2019/20 and reflecting 2 consecutive years of decline. This
reduction is mainly based on a lower national sugarbeet yield (from last month’s 31.5 tons per acre
to 30.8 tons, the lowest in 4 years) reported in the USDA, NASS October Crop Production report.
The largest yield decreases were for major producers Minnesota and North Dakota, each down 1.2
tons per acre from last month—as well as for Colorado, Idaho, and Wyoming. These States’
reductions more than offset the increases for Michigan, Montana, Nebraska, and Oregon. Yield is
unchanged for Washington State.
USDA, Economic Research ServiceMeanwhile, the national sugarbeet area harvested is unchanged at 1.009 million acres, the third
lowest level in 47 years. A combination of several factors likely contributed to the acreage
reduction, including a relatively high level of carry-in sugar among sugarbeet processors, high input
costs, and a challenging planting season (due to a combination of weather events). The estimate
for early sugar production next year (August–September 2027) is also unchanged at 654,000
STRV, which is based on a 5-year average (2020/21–2024/25).
Vidalina Abadam, coordinator
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,
Paul Montgomery, Andrew Montgomery, and David Montgomery III