USDA ERS: Sugar and Sweeteners Outlook November 16, 2021

Sugar and Sweeteners Outlook November 16, 2021

U.S. Outlook Summary

Larger Sugar Supplies and Stocks-to-Use Ratio Projected for 2021/22

The November World Agricultural Supply and Demand Estimates (WASDE) projects larger total sugar supplies in the United States for 2021/22 as beginning stocks, production, and imports are increased from last month (table 1). With use unchanged, the net result is an increase in projected ending stocks-to-use ratio compared with the October report.

The increase in beginning stocks is due to the changes in the 2020/21 balance table as final data on early sugar production, trade, and use are now available. Domestic sugar production in 2021/22 is projected to be 9.332 million short tons, raw value (STRV), up 45,523 STRV from last month, as the increase in beet sugar production more than offsets the reduction in cane sugar production in Louisiana (table 1). If realized, it would be the largest sugar production on record, overtaking the record-high of 9.293 million STRV set in 2017/18. Imports for 2021/22 are increased 44,842 STRV to 3,045 million, on larger projection for raw cane sugar TRQ (up 19,842 STRV) and high-tier tariff imports (up 25,000 STRV). Use for 2021/22 remain remains unchanged at 12.305 million STRV. The result is a larger ending stocks-to-use ratio of 14.3 percent, above the finalized 2020/21 level of 14.0 percent.

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