Softs

Dec 14 - Weekly Pepper Bulletin,  Week 10-14 December 2018 (WPB) 

Both local and international market continued showing mixed response throughout this week. Black pepper price in local market of India and Sri Lanka was reported stable, while in Indonesia and Viet Nam their price decreased by 2% and 5% respectively. Only in Malaysia was black pepper traded higher by 5% as opposed to the week before. White pepper was reported stable in the local market of Viet Nam and China, while in Indonesia it was traded lower by 2% compared to the previous week. Again, Malaysia price of white pepper prevailed by 3% when compared to last week.  

Following the trend in local market, FOB price for Malaysian black and white pepper recorded increase of 4% and 2% respectively as compared to the previous week. In Viet Nam the average FOB price of black pepper 500g/l and 550g/l were US$ 2,525 and US$ 2,775 recording a loss of US$150 and US$ 100 respectively as opposed to the previous week. Whilst the average price FOB price of Viet Nam white pepper was also reported to decrease by US$51. FOB prices for India and China were the only two that showed stability when compared to last week. Indonesia FOB price also followed the declining trend of Viet Nam by recording a drop of 2% both for Lampung black pepper and Muntok white pepper. 

With new crop arrival expected during December, US Spot prices continue its steady streak. As the stock of pepper remains low with forecasted to increase only by February/March, domestic demand is expected to absorb most of the yield.

 Dec 14 - Export of Pepper from GERMANY (WPB) 

Germany, known for its role as one of the major pepper exporter in Europe, acquires their pepper from major pepper producing countries with Viet Nam, Brazil, Indonesia and India as the top exporters. More than 80% of peppers imported to Germany are in the form of whole pepper in which some of them would be processed into ground pepper before being consumed or exported out of the country. Since 2016 import of pepper by Germany has increased steadily, with 29,706 Mt in 2016 to 32,299 Mt in 2017. As of September 2018, Germany imported in total of 20,145 Mt recording a slight increase of 1% compared to the same period in 2017, with 89% of it in the form of whole pepper. Furthermore, Germany was reported to import 7,732 Mt of pepper from Brazil and 7,341 Mt from Viet Nam as of the 9th month of 2018, making them the two biggest pepper exporters to Germany. 

In 2016, Germany exported pepper with a quantity of 14,846 MT consisting of 7,155 Mt whole pepper and 7,691 Mt ground pepper, with a value of US$ 146.8 million. Pepper exports from Germany in 2016 were slightly dominated by ground pepper with a percentage of 52% ground pepper, and 48% whole pepper. In 2017 Germany exported 8,713 Mt whole pepper, and 6,599 Mt ground pepper, amounting the total of 15,312 Mt with a value of US$ 122.9 million. Thus, recording a 3% increase in quantity, yet decreased 16% in value as opposed to 2016.

As of September 2018, Germany was reported to export whole pepper with a quantity of 6,557 Mt valued at US$ 35.8 million and ground pepper with a quantity of 5,075 Mt valued at 34.6 million, so the total export in this period reached 11,632 Mt in quantity and US$ 70.5 million in value. Though in terms of quantity of export, both for the whole and ground pepper, showed a slight increase by 0.2% and 2.2% respectively as compared to the same period in 2017, the export value took a cut of 30% for whole pepper and 24% for ground.    

Since the beginning of 2018 until the 9th month of 2018, most of whole pepper from Germany had been exported to Poland with a quantity of 2,592 MT, followed by Austria (1,203 MT), France (368 MT), Czech Republic (310 MT) and Italy ( 283 MT), making them the 5 top importers of pepper from German. Meanwhile, most of the ground pepper from Germany was shipped to the United States of America with a quantity of 1,401 MT, followed by France (1,045 MT), Austria (342 MT), Netherlands (309 MT), and Poland (297 MT).

Dec 12 - France cuts 2018/19 sugar beet yield to 80.53 tonnes per hectare
Agreste cut its estimate of the French 2018/19 sugar beet yield to 80.53 tonnes per hectare (at a standardized sugar content of 16%) in its December projection from 80.89 a month earlier.
Given that the area under beet cultivation was raised fractionally to 484,295 ha from 484,042 in the previous month, the total beet crop is now seen reaching 39,002,393 tonnes (at 16%), down from 39,155,191 previously. If realized, this would be down 15.8% from 46,300,141 tonnes a year ago. Last year's sugar beet area in France was 486,097 ha and the average beet yield was 95.25 tonnes per ha.

Dec 12 - Rainfall forces 132 Brazilian sugar mills to extend crush into December
Sugar cane crushing in Brazil's Centre/South (CS) fell further to 14.578 million tonnes in the second half of November from 21.296 in the first half of the month and 15.271 mln in the same period a year ago, Unica data showed.
Only 45 plants finished cane processing in the second half of November, much less than the 105 projected by Unica just two weeks ago. In total, just 131 units had completed harvesting by the beginning of December, down from 150 in 2017. This means that 132 mills continued crushing into December this year, much more than the 76 mills projected last month.
The wet weather led to a further drop of the amount of Total Recoverable Sugars (ATR) per tonne of cane to 120.62 kg from 127.40 two weeks earlier and down sharply from 136.77 in the same period last year. The sugar allocation fell to 31.50% from 34.03% in the first half of the month, and it was down from 36.58% last year.
This allowed the production of only 527,830 tonnes of sugar, tel quel, during the period under review, down from 728,000 a year ago. Ethanol production fell to 744 mln litres from 802 mln last year. Total cane milling since the start of the season has now reached 544.320 mln tonnes, down from 570.167 mln a year ago. Sugar production is down significantly at 25.761 mln tonnes from 35.202 mln, while ethanol production is up at 29.091 bln litres from 24.534 bln.

Dec 12 - Russian sugar production crosses 5 mln tonnes by early December
Russia's sugar production was down slightly from 5,132,700 on the same day last year, Soyuzrossakhar noted by early December.
Beet processing amounted to 33,412,560 tonnes, down from 36,257,100 a year ago. This implies a sugar extraction rate of 15.03%, up significantly from 14.16% a year ago.
There were 53 out of 75 sugar factories still operational as of the reporting date, eight less than a year ago. Beet deliveries to the factories reached 36,439,030 tonnes so far, down from 40,094,700 last year.

Dec 07 - Weekly Pepper Bulletin, Week 3-7 December 2018 (WPB) 

The U.S spot market has seen very little changes over these past weeks with no significant price movement recorded due to continuous restrained of product availability. With India awaiting new crops, most of the crops would be consumed domestically. Nearing the new crop arrivals, exporters in Viet Nam experienced pressure on selling their products. 

The price of black pepper at the local level this week showed a mixed response. In dollar terms, the prices of black pepper in India, Indonesia, and Viet Nam declined by 2%, 8%, and 2% respectively. The highest price decline occurred in Indonesia, recording a decline of USD 209 per MT, from USD 2,578 per MT last week to USD 2,369 per MT this week. Furthermore, the prices of black pepper in Malaysia and Sri Lanka were reported to increase by 1% and 6% respectively. In local currency, the average prices of black pepper at the farm level were reported to be IDR 34,100 per kg, VND 55,500 per Kg, RS 364 per Kg, RM 9 per Kg, and LKR 700 per Kg.

Furthermore, the price of white pepper this week was also reported to vary. In Viet Nam, the price of white pepper was reported to be stable at USD 3,741 per MT. In Indonesia, white pepper prices in dollar terms reported a 4% decline compared to last week. Whereas in Malaysia the price of white pepper experienced a 1% increase from last week. At the local level, the average price of white pepper in local currency was reported to be IDR 53,100 per Kg in Indonesia, VND 87,500 per Kg in Viet Nam, and MR 15 per Kg in Malaysia. Both local and FOB price in China were reported to record a sight decrease as compared to the opening of the week.

Dec 07 - Export of Pepper from UNITED STATES OF AMERICA (WPB) 

The United States of America (USA) plays an important role in the pepper trade in the world. The USA is known as one of the largest re-exporters of pepper in the world. In 2016, USA exported 14,130 MT consisting of 5,812 MT whole pepper and 8,319 MT ground pepper, with a value of USD 56 million. In 2017 USA re-exported with a total of 12,938 MT with a value of USD 57 million, recording a decline of 8% in quantity but an increase of 2% in value. Pepper exports from the USA in 2017 were still dominated by ground pepper with a ratio of 57% ground pepper and 43% whole pepper.

As of September 2018, the USA is reported to export 7,112 MT of pepper consisting of 3,429 MT whole pepper and 3,683 MT ground pepper. The export value of whole pepper in the first 9 months in 2018 was reported to be USD 10.7 million, while the value of ground pepper exports was reported to be USD 22.2 million, so the total export value in this period reached USD 33 million. Compared to the same period in 2017 the export quantity of whole pepper from the USA in 2018 declined by 15%, then the export quantity of ground pepper was also reported to have declined by 36%. In the first 9 months of 2018, the average value of pepper exports from the USA decreased by 23% compared to the pepper export value in the same period in 2017. Up to the 9th month of 2018 the main source of USA pepper has been Viet Nam. It was reported that 35,894 Mt of pepper shipped to USA froom Viet Nam which consisted of 28,541 Mt Whole and 7,353 Ground. 

In 2018 pepper from USA was exported mostly to Canada with a quantity of 1,536 MT, followed by South Korea (301 MT), United Kingdom (182 MT), Mexico (174 MT), Taiwan (159 MT), Japan (155 MT), Kuwait (123 MT), Nigeria (119 MT), and other countries. Furthermore, most of the export of ground pepper from the USA was shipped to Canada with a quantity of 2,156 MT, followed by Mexico (481 MT) and other countries.

 

Dec 06 - Global cocoa grindings rise by almost 4% (IEGvu)
- After growing by over 6% in the previous season, world grindings of cocoa beans are estimated to have continued to improve during the 2017/18 crop year, by 3.9% to 4.570 million tonnes, outlined the ICCO. “This new estimate reflects the unabated increase in demand which is especially reflected in the steady cocoa processing growth in origin countries,” said the ICCO in its quarterly report. The council’s latest estimate is more or less unchanged from its previous one back in September, though this time the rate of growth in Africa is higher than in Asia.
- On a regional level, the most notable increase in processing activity was estimated to stem from Africa, where the level of processing rose by almost 6% to 951,000 tonnes. “The expansion of already installed capacity as well as the establishment of new processing factories have also contributed to the positive growth in Europe and the Asia and Oceania regions of 5.1% and 4.3% to 1.711 million tonnes and 1.031 million tonnes respectively,” it added. By contrast, the Americas registered a very minimal decline of 0.3% from the previous season to 877,000 tonnes.
- The ICCO emphasized that the effect of increased grindings was reinforced by the boost in exports of products, with production and exports having kept pace with the increasing demand. Top global producing regions Ghana and Ivory Coast have seen their combined cocoa output reduced by the ICCO, in its latest 2017/18 estimate. “The reason for this is likely to be the downturn in cocoa prices resulting in higher returns to cocoa processing,” it said. “Export patterns of cocoa products as at the end of the second quarter of the 2017/18 season illustrate an upward trend as compared to exports during the same period of the preceding season.”
- The recent increases in processing capacity in cocoa producing countries, particularly in Africa and the Asia and Oceania regions, have benefitted from the development of single-origin cocoa products which is rapidly gaining popularity among consumers, outlined the ICCO. “Indeed, the growing importance of traceability of final products is leading to higher volumes of cocoa grindings at origin to 2.126 million tonnes (up by 101,000 tonnes or 5%). This accounts for nearly 47% of total world grindings in 2017/18,” it said.
- As a result, the ICCO estimates that Ghana, Indonesia and Malaysia were the main leaders in increased origin processing during the 2017/18 season. Grindings in Ghana are estimated to be 280,000 tonnes, reflecting an increase of almost 12% over the past season. Higher imports of cocoa beans and higher exports of cocoa products in the first two quarters of the season prove that Indonesia and Malaysia have also gained ground, the council added. Meanwhile, grindings are estimated to have remained flat in Ivory Coast (up by 3,000 tonnes to 580,000 tonnes). “The fall in the availability of quality beans may be assigned to the virtually unchanged situation in the country’s grindings,” it said.
- Grindings in cocoa importing countries are also estimated to have risen in the 2017/18 cocoa season, to 2.444 million tonnes up by over 3% or 72,000 tonnes compared to the previous year, with most of the increase occurring in Europe. “The accelerating chocolate demand and improving cocoa processing margins, can be alluded to be the two main contributors to the increase,” the ICCO indicated. The Netherlands’ processing is estimated to take the largest share of grinding activities in Europe by increasing by 30,000 tonnes year-on-year (up by 5.3%) to 595,000 tonnes. Meanwhile, grindings the ICCO Secretariat estimates grindings in the US to be around 385,000 tonnes, with Canada at 62,000 tonnes and Mexico at 50,000 tonnes.

Dec 03 - Speculators boost bearish stance on sugar, coffee, cocoa 

Speculators increased their net short position in raw sugar for the fourth straight week and slightly lifted their bearish stance in arabica coffee on ICE Futures U.S. in the week to Nov. 27, U.S. government data showed on Friday. They boosted their net short position in cocoa and again cut their bullish stance in cotton futures and options, the U.S. Commodity Futures Trading Commission data showed. Click here to read full stories.

Dec 03 - Brazil's Copersucar CEO to step down 

Paulo Roberto de Souza, chief executive of Brazil's Copersucar SA, one of the world's largest sugar and ethanol companies, is stepping down, the company said on Friday. Copersucar, a partner of Cargill Inc in the world's largest sugar trader Alvean, said Souza was leaving due to personal reasons and that João Roberto Teixeira, who led Brazilian bank Votorantim for several years, will be the new CEO starting on Monday. Click here to read full stories.

Dec 03 - India's top sugar producing state Uttar Pradesh to keep prices unchanged 

India's biggest sugar producing state, Uttar Pradesh, will keep prices that mills must pay to cane growers on hold in the current season, a senior government official told Reuters on Saturday. In India, the world's biggest sugar consumer, the federal government fixes the price that cane growers receive each year, but Uttar Pradesh's state government typically raises them in a bid to appease farmers, stoking discontent among sugar mills. Click here to read full stories.

Nov 30 - Weekly Pepper Bulletin, Week 26-30 November 2018 (WPB) 

With a good stock in store and expecting a normal crop, pepper prices in Viet Nam were relatively stable. In Malaysia, pepper prices increased significantly. The average price of black pepper at the farm level in Malaysia this week was reported to be MR 8.82 per Kg, recording a 7% increase compared to last week's price of MR 8.28 per Kg. The average price of pepper in Indonesia at the farm level has decreased slightly. The price of Muntok White Pepper was reported at IDR 56,000 per kg, and Lampung Black Pepper reported at IDR 37,000, decreased by 2% and 1% respectively from last week's price. Following the strengthening of Local currency toward US Dollar, the average price of Lampung black pepper in International market recorded slight increase. The price of black pepper in India also increased although not significant. Furthermore, the price of black pepper at the farm level in Sri Lanka was reported at LKR 666, experienced a 3% increase from last week's price of LKR 650.

Nov 30 - Import of Pepper by THAILAND (WPB)
As one of the major agriculture exporter in Southeast Asia with Rice as the leading Product, Thailand also produces pepper though in small quantity. It is recorded that in 2016 Thailand produced 1,511 MT of pepper from area of 465 Ha. Furthermore, in 2016 Thailand was reported to import 3,381 MT of pepper consisting of 2,513 MT whole pepper and 868 MT ground pepper, with a value of USD 35.8 million. Thailand's major exporter in 2016 were Viet Nam with total of 3,099 MT pepper. In the year that follows Thailand imported pepper as much as 3,821 MT with a value of USD 30 million, recording a 13% increase in quantity but 16% decrease in value. In the same year it was reported that 90% of pepper coming to Thailand was exported from Viet Nam. The increase in Thailand's import quantity in 2017 as compared to the previous year was dominated by imports of ground pepper, which is 30% higher.

 

Nov 30 - Brazil's coffee may suffer decrease in quality and quantity in 2019 

The quality of Brazil's next coffee crop may be compromised due to excessive flowering, which results in beans that lack uniformity at harvest time, an industry leader said on Thursday. Carlos Paulino, chief executive of the world's largest coffee producers cooperative Cooxupé, said the phenomenon, which is related to abundant rains during the development period, also makes it harder to estimate the size of the next crop. Click here to read full stories.

Nov 30 - Germany's Nordzucker sees losses into 2020 over sugar market gloom 

Germany's second largest sugar refiner Nordzucker expects to post losses into 2020 as tough conditions in the European market batter profitability and encourage the group to look at expansion globally, its chief executive said. The sugar industry has been in turmoil since the European Union scrapped production and export quotas last year, which prompted many producers to boost output just when sugar prices plummeted due to a build up of world stock levels. Click here to read full stories.

Nov 29 - Biosev hires bank for possible Brazil sugar asset sales - source 

Biosev SA, the sugar and ethanol maker controlled by trading firm Louis Dreyfus Co, has hired an investment bank to seek potential buyers for some or all of its plants in Brazil, a source familiar with the plans told Reuters. Biosev has retained the local unit of Dutch bank Rabobank to explore opportunities for its nine production units in Brazil's center-south region, the country's main sugar producing region, the source told Reuters. Click here to read full stories.

Nov 29 - Green Pool raises 2018/19 global sugar surplus forecast 

Analyst Green Pool said on Wednesday it had raised its forecast for an anticipated global sugar surplus in the 2018/19 season to 3.60 million tonnes, raw value, from a previous projection of 3.22 million. The surplus was, however, still much smaller than the estimated 20.0 million tonnes for the 2017/18 season. Click here to read full stories.

Nov 29 - India needs sugar reforms as stocks climb - ISMA chief

India's sugar sector is in urgent of reform as stocks climb and high cane prices keep production costs far above those of its rivals, the Indian Sugar Mills Association said on Wednesday. The association's director general, Abinash Verma, said India's sugar stocks were expected to rise during the 2018/19 season despite an expected dip in production to 31.5 million tonnes from the previous season's 32.5 million tonnes. Click here to read full stories.

Nov 29 - U.S. ethanol prices drop to 13-year lows on bigger supply 

Prices for U.S. ethanol fell to the lowest levels in 13 years on Wednesday, pressured by bigger-than-expected output and larger supplies of the corn-based biofuel, traders said. Weekly U.S. Energy Information Administration data showed that ethanol production last week was up 6,000 barrels per day, to an average of 1.048 million bpd while stockpiles increased 139,000 barrels to 22.93 million barrels. Click here to read full stories.

Nov 28 - EU sugar output could drop further as growers turn away from beet 

Sugar production in the European Union could drop sharply in 2019/20 as farmers consider slashing plantings and switching to other crops amid depressed prices, industry participants said on Tuesday. European producers are not planting extra beet area and some are turning to other crops offering better returns, Martin Todd, managing director at LMC International, told the International Sugar Organization's annual seminar in London. Click here to read full stories.

Nov 28 - Rains force Brazilian mills to extend cane processing 

Mills in the area have extended cane processing operations for the current crop due to widespread rains over most of Brazil's center-south region, a major cane industry group said on Tuesday. Unica had projected two weeks ago that 79 center-south mills would finish operations for the season during the first half of November, but it said on Tuesday that only 31 of them had done so. Click here to read full stories.

Nov 27 - Rain boosts Ivory Coast's cocoa crop 

Above average rainfall in most of Ivory Coast’s cocoa growing regions last week is set to boost the October-to-March main crop, farmers said on Monday. Ivory Coast, the world’s top cocoa producer, is in the midst of the dry season, which runs from November to late February. Click here to read full stories.

Nov 27 - Speculators sharply increase bearish stance in raw sugar 

Speculators sharply increased their net short position in raw sugar to a six-week high and reduced their bearish stance in arabica coffee on ICE Futures U.S. in the week to Nov. 20, U.S. Commodity Futures Trading Commission data showed on Monday. Speculators cut their net short position in cocoa for the fifth straight week and again trimmed their bullish stance in cotton futures and options, the data showed. Click here to read full stories.

Nov 27 - Egypt's Delta Sugar raises beet planting area this year 

Egypt's Delta Sugar has contracted farmers to plant more than 114,000 feddans (118,314 acres) of sugar beet this year, an increase of around 20,000 feddans over the area planted last year, it said on Monday. Ahmed Abu al-Yazid, chairman of the Delta board, said in a statement that most of the area allocated for sugar beet has already been planted, with incentives to those who had planted early. Delta is the Middle East's largest beet sugar producer, the company says. Click here to read full stories.

Nov 26 - Indonesia to buy rubber from farmers to prop up local prices 

Indonesian President Joko Widodo has ordered the public works ministry to buy rubber directly from farmers and cooperatives to help prop up local prices, a statement from the cabinet secretariat said on Monday. Widodo said the ministry will start buying rubber from farmers in December, and the commodity will be used as mixing material for asphalt, according to the statement. Click here to read full stories.

Nov 26 - Mauritius lowers sugar output forecast again 

Mauritius lowered its 2018 sugar output forecast for the second time in a month to 320,000 tonnes on Friday citing a weak harvest. The Chamber of Agriculture had lowered its forecast to 324,000 tonnes on November 6. "Climatic conditions have not been favourable in recent weeks," Jacqueline Sauzier, secretary general of the chamber, told Reuters by phone. Click here to read full stories.

Nov 23 -  Weekly pepper Bulletin, Week 19-23 November 2018 (WPB) 

With most countries celebrating Milad-Un-Nabi (Moslem Holiday) on the 20th October aside from Viet Nam, this week prices at local market were reported relatively stable with the only exception of Sri Lanka which recorded a mere 1% decrease as compared to last week. At the local market the average price of a Kilogram of black pepper was IDR 37,500 in Indonesia, VND 56,100 in Viet Nam, RS 376 in India, MR 8.2 in Malaysia, and LKR 650 in Sri Lanka. Furthermore, the average price of white pepper per Kg this week was IDR 57,000 in Indonesia, VND 87,500 in Viet Nam, and MR 14,726 in Malaysia. FOB prices were reported to increase albeit insignificantly with the highest increase recorded at 2% by India. The increase was a result of fluctuation of local currency against US Dollar.

Nov 23 - Import of Pepper by ITALY (WPB) 

Considered as one of the important European market for pepper, in 2016 Italy imported 4,533 MT consisting of 3,711 MT of whole pepper and 822 MT of ground pepper, valued at USD 41.20 Million. In 2017, Italy imported 4,810 MT consisting of 3,988 MT of whole pepper, and 822 MT of ground pepper, valued at USD 33 Million; recorded an increase of 6.1% in quantity but declined 19.6% in value.

Furthermore, as of 2018 Italy has imported 2,861 MT of pepper consisting of 2,415 MT of whole pepper, and 446 MT of ground pepper, valued at USD 15.5 Million. Compared to 2017 in the same period, Italy imported 1.8% less on quantity and 33.7% less on value.

There was a shift for whole pepper main importer to Italy in 2018 which originated was by Brazil. As of July 2018, the imports of whole pepper by Italy were mostly supplied by Viet Nam at the total of 592 MT which was an increase of 15.6% as opposed to the same period in 2017.  In reference to the ground pepper, France is still the top importer for Italy, which imported 207 MT from France as of July 2018, thus, recording an increase of 34% compared to the same period in 2017.  

 

Nov 23 - Vietnam coffee, oil production under threat from tropical storm Usagi 

Vietnam's ongoing coffee harvest and offshore oil exploration are under threat from tropical storm Usagi, which is headed from the South China Sea towards the Southeast Asian country's coffee-growing region of the Central Highlands. Vietnam's long coastline makes it prone to destructive tropical storms. Natural disasters such as floods and landslides triggered by storms killed 389 people in the country last year. Click here to read full stories.

Nov 23 - New machine offers relief for Colombian coffee-growers' labor woes 

Third generation Colombian coffee farmer Mauricio Giraldo knows all too well the stress of seeing some of his crop rot on the tree because he cannot find enough workers to pick the cherry-like red fruit. His 35-hectare (86-acre) farm in the southern mountains of Huila requires 80 pickers, but sometimes during busy harvest seasons he can find only half that, as people gravitate toward urban centers and away from arduous agricultural work. Click here to read full stories.

Nov 22 - CoffeeNetwork sees large global coffee surplus in 2018/19 

The global coffee market is set for its biggest surplus for 16 years in 2018/19, CoffeeNetwork analyst Andrea Thompson said in a report on Wednesday. Thompson projected there would be a global surplus for the season of around 11 million (60-kg) bags, the largest since 2002/03. Click here to read full stories.

Nov 21 - Louis Dreyfus poised to take back strategic robusta stocks - sources 

Louis Dreyfus Company is poised to regain majority ownership of robusta coffee stocks on ICE Futures Europe, four trade sources told Reuters, in a move that will give the firm a strategic edge in trading the London-based futures market. Some 38,400 tonnes of robusta coffee have been tendered against November robusta futures since the start of the delivery period, Intercontinental Exchange (ICE) data shows. Click here to read full stories.

Nov 21 - Global sugar production to fall, but consumption to rise - USDA 

The U.S. government on Tuesday forecast world sugar production will fall about 9 million tonnes in 2018/19 to 185.9 million tonnes, while global consumption swells to new records. In its biannual report, the U.S. Department of Agriculture (USDA) said the decline in global production was primarily due to Brazil, where yields have been lower and where an increasing share of sugarcane is being diverted to ethanol production. Click here to read full stories.

Nov 20 - Ivory Coast light rains boost main cocoa crop 

Light rains mixed with sunny spells in most of Ivory Coast last week were expected to boost the main cocoa crop in the world's top producer, farmers said on Monday. Farmers said the outlook for the main crop was good. Ivory Coast is in the dry season that runs from November to late February, and farmers said rains through December would be crucial to ensure the harvest of big sized beans in February and March even with the current high level of soil moisture. Click here to read full stories.

Nov 19 - Rio Tinto, Nespresso join forces to make coffee pods greener

Nespresso, part of food giant Nestle, aims to use sustainable aluminium in all of its coffee capsules by 2020 under a deal with mining major Rio Tinto announced on Monday. Both companies have faced criticism for adding to pressure on the planet, with campaigners saying Nespresso coffee machines are wasteful and many of the used capsules end up in landfill. Click here to read full stories.

Nov 19 - Australia raps India sugar subsidies as part of WTO transparency drive

India's annual subsidies to sugarcane producers have breached the allowed limits by as much as tenfold in the past six years, Australia told the World Trade Organization in a document published by the world body on Friday. India's support for producers is supposed to be capped at 10 percent of the value of production, but it had paid between 77.1 percent and 99.8 percent since 2011, with payments between $9.3 billion and $11.8 billion, Australia said. Click here to read full stories.

Nov 19 - Speculators sharply increase bearish stance in sugar

Speculators sharply increased their net short position in raw sugar and lifted their bearish stance in arabica coffee for the first time in about two months in the week to Nov. 13, U.S. Commodity Futures Trading Commission data showed on Friday. They reduced their net short position in cocoa for a fourth straight week and cut their bullish stance in cotton futures and options to its smallest since August 2017, the data showed. Click here to read full stories.

Nov 16 - Weekly Pepper Bulletin, Week 12-16 November 2018 (WPB) 

Pepper prices at the farm level showed mixed response. In India, the price of black pepper at the farm level was reported to be USD 5,170 per MT, recording an increase of 2% compared to the previous week. In Malaysia the price of black and white pepper also increased by 2% and 1% respectively. Declined prices at the local level occurred in Viet Nam and Sri Lanka. In Viet Nam, the price of black pepper and white pepper at the farm level declined by 5% from the previous week. At the local level, pepper prices in Viet Nam declined from VND 58,100 per Kg last week, to VND 55,500 per Kg this week. Furthermore, the price of white pepper was reported to decline from VND 92,500 per Kg last week, to VND 87,500 per Kg this week. As for the declining price in Sri Lanka it could be contributed highly on the weakening of Sri Lankan currency against US Dollar. Furthermore, Prices of black pepper and white pepper in Indonesia were reported to be stable at an average of IDR 37,500 for black and IDR 57,000 for white pepper.

Nov 16 - Crop Production in East Luwu - INDONESIA 

East Luwu is one of the pepper-producing districts in South Sulawesi Province, Indonesia. With farming as their main livelihood there were 6,673 pepper farmers, one of which (Mr. Baharudin) won the 2016 IPC Best Farmer Award, with an average land ownership of 0.51 Ha per farmer up to 2017. East Luwu black pepper has a bulk density of 604.80 g/l; moisture content 11%; light berries 2.5%; 0.5% foreign matter, and moldy berries 0.23%. Furthermore, East Luwu white pepper has a bulk density of 697.65 g/l; moisture content 12.66%; light berries 0.24%; no foreign matter, black/dark colored berries 2.22%; and no moldy berries.

Since 2011 area of pepper plantation in East Luwu has been increasing steadily. In 2018, it is estimated that the total area planted with pepper reaches 5,879 hectares with an immature plant area of 2,438 hectares, mature plants of 2,984 hectares, and damaged / died plants of 457 hectares. Furthermore, it is reported that pepper production in East Luwu has also followed a steady increasing trend since 2011. East Luwu contributed 63% of the total pepper production of South Sulawesi Province in 2017. In 2018 pepper production in East Luwu is estimated to be 4,446 MT which is a 75% increase from 1,128 MT in 2011 (Table 1). East Luwu pepper is mainly sold to Jakarta for distribution at the national level or being shipped abroad.

 In East Luwu, the price of black pepper at the farm level in the first half of November 2018 was reported at IDR 35,000 per Kg; whereas, white pepper prices at IDR 55,000 per Kg. During the same period, FOB black pepper prices were reported at USD 2,711 per MT; and FOB white pepper prices at USD 4,066 per MT. East Luwu Pepper has been marketed to various regions, both domestically and overseas. In January 2019 it is estimated that pepper farmers in East Luwu will experience a fairly good harvest period. 

 

Nov 16 - ISO sees smaller global sugar surplus as output falls 

The International Sugar Organization on Thursday sharply reduced its forecast for an expected global sugar surplus for the 2018/19 season, cutting production outlooks for Brazil, India, Pakistan and the European Union. The inter-governmental body, in a quarterly report, forecast there would be a global surplus of 2.17 million tonnes in 2018/19 (October/September), down from a previous projection of a 6.75 million tonne surplusissued in August. Click here to read full stories.

Nov 16 - Nordzucker in talks to buy Australia's Mackay Sugar 

Germany's second largest sugar refiner Nordzucker is in talks to buy Australian producer Mackay Sugar, a Nordzucker spokeswoman said on Thursday. Nordzucker said earlier this year that it was considering acquisitions in the changed trading environment after the European Union liberalised its sugar market. Click here to read full stories.

Nov 15 - France sets out plans to tackle deforestation

France set out plans on Wednesday to tackle deforestation around the world, saying it would look to curb imports of products such as palm oil, soy, and beef which it said contributed to the problem of forest areas disappearing. Palm oil, a type of vegetable oil used in confectionery and other goods, is controversial because of the environmental impact of clearing forests to make way for plantations. Click here to read full stories.

Nov 15 - India sugar output to sour further on scanty rains - trade official 

India is likely to produce 7.4 percent less sugar than forecast earlier as mills are reporting a sharp drop in sugar cane yields due to a drought and white grub infestations in key growing areas, a senior industry official told Reuters. The drop will reduce exports from the world's second-biggest sugar producer and likely help support global prices that have fallen 17 percent so far in 2018. Click here to read full stories.

Nov 15 - Brazilian sugar mills owned by India's Shree Renuka up for auction 

Two sugar mills in Brazil owned by India's Shree Renuka Sugars Ltd, which filed for bankruptcy protection three years ago, will be put up for sale in a judicial auction on Dec. 18, according to court documents seen by Reuters on Wednesday. U.S.-based fund Castlelake is among the interested parties in the auction, two sources following Renuka's court case told Reuters. Brazil's Grupo Teston, which makes equipment for the sugar industry, is also a potential bidder, the sources said. Click here to read full stories.

Nov 14 - French farm ministry cuts 2018 sugar beet crop estimate again 

France's farm ministry on Tuesday cut its estimate of the country's 2018 sugar beet crop to 39.2 million tonnes from 40.4 million last month as it lowered expected yields. The reduced sugar beet crop estimate was now 15.4 percent below last year's volume but 5.3 percent above the five-year average. Click here to read full stories.

Nov 13 - Brazil mills extend cane crushing due to rains; focus on fuel 

Mills in Brazil's center-south region will likely extend their crushing operations later into the year than previously expected as ample rains in the region cut the pace of processing, cane industry group Unica said in a report on Monday. Plants remained keen on ethanol production despite recent gains in benchmark raw sugar prices in New York, the report showed, earmarking only 30 percent of the cane in the second half of October to sugar production, with the rest going to the biofuel. Click here to read full stories.

Nov 13 - Sunny spells help Ivory Coast's main cocoa crop 

Sunny spells in most of Ivory Coast last week were expected to boost the main cocoa crop in the world's top producer, farmers said on Monday. A drop in rainfall at the beginning of the November to February dry season has lessened the threat of black pod disease, farmers said, though some light rain has maintained a good level of soil moisture. Click here to read full stories.

Nov 12 - Speculators return to bearish stance in raw sugar - CFTC 

Speculators switched back to a net short position in raw sugar and cut their bearish stance in coffee for the seventh straight week on ICE Futures U.S. in the week to Nov. 6, U.S. Commodity Futures Trading Commission data showed on Friday. They sharply reduced their net short position in cocoa and cut their bullish stance in cotton futures and options, the data showed. Click here to read full stories.

Nov 09 - India plans to export 2 mln T of sugar to China from next year - govt statement

India plans to export 2 million tonnes of raw sugar to China from next year, the trade ministry said on Thursday, as part of efforts to trim bulging stocks of the sweetener and bridge a widening trade deficit. Producers' body Indian Sugar Mills Association and China's state trader COFCO have already signed an initial deal for 15,000 tonnes of sugar, the ministry said in a statement. Click here to read full stories

Nov 09 - Weekly Pepper Bulletin,  Week 05-09 Nov 2018 (WPB) 

Pepper prices at the local level showed declined trend except in India and Malaysia. The prices of black pepper and white pepper in Indonesia were reported to decline 3% and 2% respectively. Furthermore, in Viet Nam, the prices of black pepper and white pepper also dropped by 5% and 3% respectively. Prices at the local level in India were reported to be relatively stable due to national holidays from 6 - 9 November 2018. Meanwhile, in Malaysia, the price of black pepper and white pepper increased by 8% and 4% this week. In local currency, the average local price of black pepper in Malaysia was reported to increase from RM 7,512 per kg to RM 8,084 per kg this week. In addition, the average price of white pepper in Malaysia also increased from RM 14.005 per kg last week, to RM 14.546 per kg this week.

Nov 09 - Import of Pepper by Canada (WPB)   

In 2016 Canada imported 6,338 MT with a total value of USD 63.620 million. The import consisted of 2,686 MT ground pepper valued at USD 29.078 million, and 3,652 MT whole pepper valued at USD 34.542 million. In 2017 there was an increase in total import from 6,338 MT in 2016 to 7,120 MT in 2017 valued at USD 60.271 Million, recording an increase 12.3% in quantity but decrease in value by 5%. 

For the first semester of 2018, Canada has imported 3,669 MT of pepper, which consisted of 1,672 MT ground pepper, and 1,996 MT whole pepper. When compared to the same period in 2017, Canada up to June 2018 imported 3.5% higher in quantity, but 23% lower in value. Viet Nam was reported as the main source of pepper for Canada in the first half of the year, supplying 40% of total pepper imported to Canada. United States of America supplied 29%, followed by India 12%, and Brazil 6% respectively.

 

Nov 08 - Brazil sugar output seen growing, but global supply falls - FCStone

Brazilian mills are expected to increase the amount of cane they allocate to sugar production next season due to better prices for the sweetener, which will lead to a rise in sugar output of 3 million tonnes, broker and consultancy INTL FCStone said on Wednesday. FCStone expects Brazil's center-south to produce 29.6 million tonnes of sugar in the 2019/20 season that starts in April versus 26.3 million tonnes in 2018/19, which was the country's smallest output in years and almost 10 million tonnes lower than in the previous crop. Click here to read full stories.

Nov 08 - Brazil sugar-ethanol firm Biosev open to possible sale of mills - CEO

Biosev, the Brazilian sugar and ethanol unit controlled by commodities trader Louis Dreyfus, is open to market opportunities including the potential sale of additional mills, Chief Executive Officer Juan José Blanchard said on Wednesday. The company sold a mill in September and hired financial advisers to evaluate additional asset sales, as it seeks to reduce a large debt. Click here to read full stories.

Nov 07 - Ghana launches commodity exchange for agricultural products

Ghana launched a commodity exchange for agricultural products, the first in West Africa, on Tuesday in efforts to guarantee market access for farmers and boost their income, President Nana Akufo Addo said. He said the exchange would benefit around 1 million Ghanaian farmers by securing storage for their harvest over the next 18 months and aims to substantially reduce post-harvest losses. Click here to read full stories

Nov 07 - Wave of Brazil conillon coffee boosts ICE exchange stocks

Brazilian robusta coffee has been flowing into Europe - a market that traditionally doesn't consume it - with shipments in recent months fuelled by tight exchange supplies and a slump in the country's currency, trade sources said. The coffee has rebuilt ICE Europe Futures certified stocks from multi-year lows and pushed nearby robusta prices to a discount, erasing the sizeable premiums that have dominated the market structure for months. Click here to read full stories

Nov 06 - India plans to export 2 mln T of sugar to China from next year - govt statement 

India plans to export 2 million tonnes of raw sugar to China from next year, the trade ministry said on Thursday, as part of efforts to trim bulging stocks of the sweetener and bridge a widening trade deficit. Producers' body Indian Sugar Mills Association and China's state trader COFCO have already signed an initial deal for 15,000 tonnes of sugar, the ministry said in a statement. Click here to read full stories.

Nov 06 - Ivory Coast sunny weather boosts cocoa crop

Sunny spells and scarce rainfall in most of Ivory Coast's cocoa growing regions last week could stem the spread of black pod disease and boost the main cocoa crop, farmers said on Monday. Last week, farmers said they were concerned that wet spells could help spread disease. But a new wave of small pods was on trees and would ensure a healthy harvest into early next year if the good weather continues, farmers said. Click here to read full stories

Nov 02 - Bloomberg Commodity Index to cut weightings for livestock, softs 

Bloomberg adjusted the weightings for its Bloomberg Commodity Index for 2019, cutting its weighting for the livestock and soft commodity sectors, the company said in a statement dated Wednesday. It cut its weighting for the livestock sector to 5.94 percent in 2019 from 6.39 percent this year, and the softs sector to 7.05 percent from 7.60 percent. Click here to read full stories.

Nov 02 - Ivorian cocoa exporters struggle to get finance after SAF-Cacao failure 

Ivorian banks are refusing to finance purchases of cocoa beans by some local exporters until they are guaranteed repayment of 160 billion CFA francs ($279 million) of debt from failed export giant SAF-Cacao, banking and industry sources told Reuters. Exporters unable to provide strong guarantees to banks are being turned away, raising the risk of defaults and the growing dominance of the industry by foreign multinationals. Click here to read full stories.

Nov 02 - Costa Rican coffee exports up 53 pct year-on-year in October 

Costa Rican coffee exports rose by 53 percent year-on-year in October, the first month of the 2018/2019 harvesting season, according to data published on Thursday by national coffee institute ICAFE. Shipments for the month totaled 21,830 60-kg bags, compared with 14,311 bags during the same month last year. Click here to read full stories.

Nov 02 - Honduran coffee exports jump more than 90 pct in October

Honduran coffee exports soared 91 percent in October compared to the same month a year ago as sellers sold beans left over from the previous harvest, sector officials said on Thursday. Honduran exporters shipped a total of 99,509 60-kg bags in October, the first month of the 2018-19 harvesting season, compared to 52,017 in the same month of 2017, according to data from national coffee institute IHCAFE. Click here to read full stories.

Nov 02 - Weekly Pepper Bulletin, Week 29 Oct-02 Nov 2018 (WPB) 

Pepper prices at the local level showed mixed response. Price in India was reported dropped by 3% to an average of USD 5,048/MT as opposed to the previous week. Meanwhile, in Sri Lanka price of black pepper increased by 8% this week as compared to the previous week. Furthermore, the prices of black pepper and white pepper in Viet Nam also increased by 7% and 4% respectively. In Viet Nam, local price of black pepper increased from VND 56,700 per kg last week to VND 59,300 per kg this week. Then, local price of white pepper in Viet Nam also reported increased from VND 91,500 per kg last week to VND 92,500 per kg this week. Though the substantial demands pepper prices in Malaysia and Indonesia are reported to be relatively stable due to limited stock. 

Nov 02 - Import and Export of Pepper by SINGAPORE (WPB)   

Singapore is one of the most important pepper traders in the world. Since 2008 pepper import and re-export by Singapore have been known to be quite high. Singapore reached its peak in 2014 where Singapore imported 27,004 MT of pepper and re-exported it by 25,405 MT which amounted to USD 224 Million and USD 213 Million respectively. The following years showed declining trend of both import and export of pepper to and from Singapore. In 2015 there was a 25% decline in pepper imports and exports by Singapore compared to 2014. Then, a drastic decline occurred in 2016, at that time Singapore imported 68% lower and exported 71% lower than 2015.

In 2018 Singapore began to show better import and export figures compared to 2017 in the same period. Until July 2018 Singapore has imported 4,341 MT of pepper which equals to USD 17 Million, a 43% higher than the import in 2017 in the same period of 3,033 MT quantity wise. Viet Nam and Indonesia are the main exporters of pepper to Singapore. Until July 2018 exports from both countries to Singapore had reached 1,666 MT and 1,198 MT respectively.

 

Nov 01 - Ivory Coast on track for record cocoa harvest in 2018/19 

Ivory Coast is on track for a record cocoa harvest in the 2018/19 season of 2.2 million tonnes, up from about 2 million tonnes last season, due to favourable weather and new plantations, farmers, exporters and middlemen said on Wednesday. The main cocoa crop, which runs from October to March, is expected to hit a record 1.7 million tonnes, they said, up from 1.5 million tonnes last season. Click here to read full stories.

Nov 01 - Slowing Chinese demand, supplies to weigh on rubber prices in 2019 - assoc official 

Natural rubber prices are unlikely to recover in 2019 from their lowest level in more than two years as demand growth is faltering in top consumer China amid rising supplies, the Association of Natural Rubber Producing Countries (ANRPC) said. "The demand-supply situation and currency movements are not favourable. Potential growth in supplies is also weighing on sentiment," Jom Jacob, senior economist at the Kuala Lumpur, Malaysia-based ANRPC, told Reuters in a telephone interview on Wednesday. Click here to read full stories.

Oct 31 - CoreCommodity's De Chiara says bull cycle in commods starting 

Commodities from energy to metals and agriculture are in the early stages of a strong upward move, CoreCommodity LLC portfolio manager Adam De Chiara said on Tuesday, as interest rates start to rise and long-standing supply gluts start to dwindle. De Chiara, co-founder of the $4.2 billion CoreCommodity Management LLC, a privately owned investment manager, said global economic growth is the main reason he expects a sustained rally in energy markets including crude oil and natural gas, along with soft commodities like coffee and sugar. Click here to read full stories.

Oct 31 - Brazil sugar output seen at lowest in 12 yrs, new crop similar - Datagro 

Brazil's center-south is expected to produce 26.38 million tonnes in the 2018/19 season - which is heading into its final weeks - the lowest amount in 12 years due to a smaller cane crop and higher ethanol production, Datagro consultancy said on Tuesday. Datagro's previous estimate for the season was for production of 27.28 million tonnes. It projected the new sugar season, which starts in April next year, at a similar level with an output seen at 26.4 million tonnes. Click here to read full stories.

Oct 31 - Brazil's Cosan eying refining partnership with Petrobras

Brazil's Cosan SA Indústria e Comércio, a leading ethanol producer and fuel distributor, is interested in refining partnerships with state-run oil company Petroleo Brasileiro SA, its chairman Rubens Ometto said on Tuesday. The company is "looking at" potential partnerships, but it will depend on the model that Petrobras, as the company is known, sets for selling stakes in its Brazilian refineries, Ometto said. Click here to read full stories.

Oct 31 - Brazilian sugar companies cut debt to 5-yr low -bank 

Sugar and ethanol producers in Brazil have reduced their debt to the lowest level in five years as a result of sharp cost cuts and almost no investments in cane processing capacity, investment bank Itaú BBA said on Tuesday. According to data collected by the bank from companies accounting for around 80 percent of Brazil's center-south cane crushing capacity, mills closed the 2017/18 season with average debt of 117 reais ($31.47) per tonne of cane crushed, versus 120 reais in the previous season, and the lowest since the 104 reais per tonne in the 2013/14 crop. Click here to read full stories.

Oct 30 - Brazil sugar mills see better outlook, eye shift back to sweetener  

Brazilian sugar and ethanol producers said on Monday that the outlook for the sector is gradually improving and that better prospects for next year's season could include shifting more production back to the sweetener. Millers taking part in Datagro's international sugar conference in São Paulo said that a recent price rally in New York could help forward sales of sugar, which in turn might lead mills to earmark more cane to sugar production than they did this year, and less to ethanol. Click here to read full stories.

Oct 30 - Brazil's Bolsonaro backs ethanol industry, pledges partnership  

President-elect Jair Bolsonaro backed Brazil's ethanol industry and pledged to be a partner of the biofuel sector, according to remarks aired on Monday during an international sugar conference in Sao Paulo. Right-wing Bolsonaro, who beat leftist Fernando Haddad in a run-off vote on Sunday, said in a video that he would like to see Brazil retake global leadership in ethanol production, which it lost to the United States some years ago. Click here to read full stories.

Oct 30 - Ivory Coast rain boosts cocoa crop; disease worries emerge  

Above average rainfall in Ivory Coast's cocoa growing regions could improve the crop size next year, farmers said on Monday, although early signs of rain-induced black pod disease worried some. Soil moisture content is high and farmers said they were confident of an abundant harvest during the October-to-March main crop. The length and severity of the dry season, which runs from November to late February, will determine how well the crop does in the later months, they said. Click here to read full stories.

 

 

Oct 23 - Dreyfus sugar unit Biosev in talks to sell more mills -sources 

Biosev SA, the Brazilian sugar and ethanol producer controlled by global commodities trader Louis Dreyfus, is in talks to sell more assets in the country as it seeks to cut debt, two sources with knowledge of the plans told Reuters on Monday. Biosev, which announced the sale of a sugar and ethanol mill a month ago hired Datagro Financial, the financial services division of Sao Paulo-based consultancy Datagro, and the investment banking unit of Banco Santander Brasil SA to assist in the process to sell other mills, the sources said. Click here to read full stories.

Oct 23 - Ivorian cocoa farmers hope for dry weather as disease flares in east 

Above-average rainfall in Ivory Coast’s eastern cocoa-growing regions last week could hinder bean-drying and fuel the spread of disease, farmers said on Monday. Harvesting for the October-to-March main crop has picked up in the world's top cocoa producer, with farmers saying they were handling many beans. Click here to read full stories.

Oct 23 - Brazil launches trade dispute against China over sugar - WTO 

Brazil has launched a complaint against China with the World Trade Organization to challenge Beijing's restrictions on sugar imports, a filing published by the WTO showed on Monday. Brazil said it was challenging China's "safeguard" measure on imported sugar, the administration of its tariff-rate quota, and its "automatic import licensing" system for out-of-quota sugar. Click here to read full stories.

Oct 22 - Trump backs water projects in U.S. West as election nears 

President Donald Trump on Friday threw his support behind speeding up water projects for agriculture and hydropower in the arid U.S. West, a move aimed to help build support for Republicans in tight congressional races in next month's midterm elections. Trump signed a presidential memorandum that directs Interior Secretary Ryan Zinke and Commerce Secretary Wilbur Ross to "reduce regulatory burdens" and expedite environmental reviews for projects in the West that provide water for farmers and power generation. Click here to read full stories.

Oct 22 - Speculators slash bearish raw sugar position in half - U.S. CFTC 

Speculators sharply reduced their bearish stance in raw sugar contracts to its smallest in 3-1/2 months and boosted their net short position in cocoa for the fifth straight week on ICE Futures U.S. in the week to Oct. 16, U.S. government data show. Speculators cut their bullish stance in cotton for the eleventh straight week and reduced their net short position in coffee futures and options, U.S. Commodity Futures Trading Commission data showed on Friday. Click here to read full stories.

Oct 19 - Weekly Pepper Bulletin,  Week 15-19 October 2018 (WPB) 

Except in Sri Lanka and Malaysia, pepper price has shown an increasing trend. In Indonesia, price of black pepper in Lampung and white pepper in Bangka increased by 8-9% locally. In Kochi, India, Malabar black pepper price increased by 3%. A marginal increase of 1% was also recorded for Viet Namese black this week. Pepper prices in Kuching were reported stable, while in Sri Lanka decreased marginally.

Oct 19 - Import of Pepper by RUSSIA (WPB)   

Russia as one of important pepper market had recorded an import of 8,204 Mt of pepper, comprised of 7,609 Mt of whole and 595 Mt of ground pepper in 2017, an increase of 505 Mt compared to import of 7,700 Mt in 2016. Viet Nam was recorded as a single important source of pepper for Russia, supplying around 70% of pepper import. India, Indonesia and other sources supplied less than 10%. Up to July 2018 import of pepper into Russia reached 4,190 Mt (3,830 Mt of whole and 360 Mt of ground pepper), with Viet Nam continued to be the main source. When compared to import in the same period last year, import in the first seven month decreased by 700 Mt (14%). Import of whole pepper decreased, while for ground pepper increased marginally. Considering sufficient supply at source, import in the remaining month is estimated to remain high, with a slight lower from last year

 

Oct 19 - EPA chief says agency can expand ethanol sales without Congress 

The Environmental Protection Agency can allow sales of higher-ethanol blends of gasoline year-round without Congress, its acting administrator said on Thursday, adding that the oil industry should drop its threat of a lawsuit to halt the move. President Donald Trump announced last week he was directing the EPA to lift the summertime ban on sales of so-called E15 to help farmers suffering from slumping commodity prices. The oil industry said the move would violate the nation's biofuel policy and threatened to sue to block it. Click here to read full stories.

Oct 18 - Grub infestation may be the fix to India's sugar problem its farmers do not want 

India may have found a fix to its sugar problem but the answer will not make its cane farmers happy. After a bumper crop, sugar stockpiles in the country, the world's second-largest producer of the sweetener, have more than doubled since last year. With another record crop expected in the current growing season, India is subsidising sugar exports, threatening to glut the market even as prices fell to the lowest in 10 years on Sept. 27.  Click here to read full stories.

Oct 18 - Cristal Union says EU sugar industry slump could last until 2020 - Le Figaro 

Cristal Union, France's second-largest sugar group, sees the slump in the European sugar industry continuing in 2019 and possibly 2020 as prices take time to recover from historic lows, its chief executive told Le Figaro. The sugar industry has been in turmoil since the European Union scrapped production and export quotas last year, which prompted many producers to boost output just when sugar prices collapsed under pressure from large world stocks. Click here to read full stories.

Oct 18 - China says safeguard measures on sugar imports in line with WTO rules 

China's commerce ministry said on Wednesday its safeguard measures on sugar imports are in line with World Trade Organisation rules, in response to Brazil's opening of a consultation process at the trade body over Beijing's management of imports. Brazilian sugar exports to China plunged after China implemented steep anti-dumping duties on sugar imports from several countries last year. Click here to read full stories.

Oct 16 - Ivory Coast sunny weather boosts cocoa crop, but disease flares in the east 

Sunny spells last week in most of Ivory Coast's main cocoa regions were expected to boost the development of the October to March main crop, farmers said on Monday, though overly wet weather in the east caused disease issues. As the new marketing season in the world's top cocoa producer got underway, farmers said harvesting would rise sharply in November as there were plenty of big well-formed pods on the trees. Click here to read full stories.

Oct 15 - Speculators lift bearish cocoa bet, slash bearish sugar stance 

Speculators lifted their bearish stance in cocoa contracts to the highest in over a year and slashed their bearish position in raw sugar on ICE Futures U.S. in the week to Oct. 9, U.S. Commodity Futures Trading Commission data showed on Friday. They cut their net short position in coffee and reduced their bullish stance in cotton futures and options, the data showed. Click here to read full stories.

Oct 15 - Coffee farmers ask for industry action to mitigate depressed prices 

Coffee growers from more than 30 countries on Friday sent a letter to industry executives, asking for immediate action after prices fell to near a 13-year-low last month. "We write to express our deepest concern with the current situation in the coffee market that is generating a deep economic, social, and potentially political crisis, and unrest amongst coffee producers all over the world," the World Coffee Producers Forum wrote in a letter addressed to chief executives in the coffee industry. Click here to read full stories.

Oct 12 - Landslides Pose Risk To Uganda's Coffee Harvest (Dow Jones)
Tens of thousands of coffee farmers in Uganda's eastern main Arabica growing region are facing displacement as heavy rains and landslides intensify, potentially disrupting the ongoing harvest in Africa's No.1 coffee exporter, says the state-run disaster unit. The quantity of the current rainfall is comparable to the 2006 season, when some 180,000 people were displaced and tens of thousands of hectares of cropland destroyed, according to U.S.-funded research group Fewsnet. Hundreds of hectares of farmlands have already been destroyed by landslides that have also left over a dozen farmers dead in recent days. The severe weather threatens production of premium arabica coffee beans and could hurt Uganda's prospects of raising 2018-19 coffee output by 10% to 5.1 million bags.

Oct 12 - Weekly Pepper Bulletin, Week 8-12 October 2018 (WPB) 

The market continued to show a mixed response. Price Viet Nam, Indonesia and Sri Lanka increased; while in India decreased further. In Sarawak the price was reported stable at MYR 7.5 and MR 14.0 per Kg respectively for black and white pepper locally. In Dollar terms however, the price decreased marginally by 1%. 

Oct 12 - Import of papper by NETHERLANDS (WPB) 

Netherlands as important pepper trading countries in Europe imported 13,200 Mt in 2017 (8,400 Mt of whole and 4,800 Mt of round pepper), an increase of 6% from 12,400 Mt in 2016. Import of whole pepper decreased 7%, while for ground pepper increased 38%. Up to 2016 import into Netherlands decrease year by year from 16,100 Mt in 2014, 17,000 Mt in 2012 and 19,400 Mt in 2010. This phenomenon was likely due to suppliers in producing countries exported directly to buyers in consuming countries.  The year 2017 was likely the turning point for Netherland to import more and in 2018 the import is estimated to increase further as indicated by total quantity imported in the first half of the year.  During January- June 2018 import of pepper into the Netherlands was 7,900 Mt (5,500 Mt of whole and 2,400 Mt of ground pepper), registering an increase of 26% as against 6,300 Mt imported in the same period of last year. Import of whole pepper increased 37% and 7% for ground pepper. Major share of pepper imported into Netherlands was from Viet Nam (40%), followed by Brazil (26%) and Indonesia (14%).

Oct 12 - World sugar market could swing to deficit in 2019/20 as Brazil, EU curb output - broker 

The world sugar market could see a shortfall in 2019/20 after two years of over-supply as Brazil and the European Union cut production, but strong Indian output will still weigh on the market, ADM Investor Services International said on Thursday. The market could swing to a deficit of roughly 2 million tonnes in the 2019/2020 season, from an expected surplus of 4-5 million tonnes in the current 2018/19 season, said Howard Jenkins, head of global commodity group at ADMISI. Click here to read full stories.

Oct 12 - Brazil's 2018 coffee crop 51 pct sold, says consultancy 

Brazilian coffee farmers have sold 51 percent of the 2018 crop by Oct. 9 compared to 53 percent at this time last season and 52 percent seen in a 5-year average, Safras & Mercado consultancy said on Thursday. Safras said producers have slowed down sales in September after higher volumes earlier in the crop, taking a more selective stance now and waiting for eventual peaks in prices to clinch new deals. Click here to read full stories.

Oct 11 - Brazil sugar output sharply down late in Sept 

Brazil's center-south sugar output fell to only 1.28 million tonnes in the second half of September as rains reduced crushing activity and mills continued to allocate minimum amounts of cane to sugar production, industry group Unica said on Wednesday. Production of the sweetener was 55 percent lower than seen in the same period a year earlier, while cane crushing fell 31 percent to 27.6 million tonnes. Click here to read full stories.

Oct 11 - Brazil's coffee exports rise; lack of space in ships hits trade 

Brazilian coffee exporters shipped 2.73 million 60-kg bags of coffee abroad in September, 27 percent more than a year earlier, but a lack of container space in ships prevented larger volumes as the country sells a record crop. Coffee exporters association Cecafé said on Wednesday that some exporters had to delay loading of coffee at ports because they could not find cargo space in container ships. Cecafé said it had asked Brazil's government for help to solve the problem. Click here to read full stories.

Oct 10 - India to export raw sugar for first time in 3 years as global prices rally 

Indian sugar mills have signed deals to export raw sugar for the first time in three years as a rally in New York prices to seven-month highs along with government subsidies made exports lucrative, five dealers and two industry officials told Reuters. Mills in the world's second biggest sugar producer were reluctant to sign new export contracts until recently as global prices were trading far below local prices. Click here to read full stories.

Oct 10 - EU drop in sugar output offers "glimmer of hope" for supply glut 

The European Union is poised to reduce its sugar exports as poor weather and low prices dent output from the bloc, a move analysts said on Tuesday could help ease a global supply glut. The EU is expected to produce 17.3 million tonnes of sugar in the current 2018/19 season, down from 19.6 million tonnes in 2017/18, John Stansfield, trader and analyst at Group Sopex, told an industry gathering in London. Click here to read full stories.

Oct 10 - ICO sees global coffee surplus in 2017/18 

The International Coffee Organization on Tuesday raised its estimate for global coffee production in 2017/18 to 164.81 million 60 kg bags from 158.56 million. The inter-governmental body now sees a global surplus of 2.58 million bags for the season versus a previously expected deficit of 3.56 million. Click here to read full stories.

Oct 9 - Ivorian cocoa farmers welcome dry spell ahead of main crop harvest 

Below average rainfall in most of Ivory Coast’s main cocoa regions last week is likely to boost harvests for the October-to-March main crop, farmers said on Monday. The new marketing season in the world’s top cocoa producer opened on Oct. 1, with a guaranteed farmgate price of 750 CFA francs ($1.32) per kilogram set by the Coffee and Cocoa Council. Click here to read full stories.

Oct 8 - Farmers group asks Brazil for funds so its coffee farmers can delay sales

Brazil's farmers confederation, CNA, said on Friday it had officially requested government funding for a program that would allow coffee farmers to hold back sales and stock the product to avoid selling at current low prices. CNA said it met on Thursday with representatives of the ministries of Agriculture and Finance in Brasília, where it suggested the government reallocate money from Funcafé, a fund that finances programs for the coffee sector, to finance a plan to help farmers carry stocks that they could sell later, when prices are more favorable. Click here to read full stories.

Oct 8 - Speculators cut bearish coffee bet, lift bearish cocoa stance

Speculators cut their bearish bet in arabica coffee for the second straight week and increased their net short position in cocoa on ICE Futures U.S. in the week to Oct. 2, data from the U.S. Commodities Futures Trading Commission showed on Friday. They cut their bullish stance in cotton to its smallest since November 2017, and increased their bearish stance in raw sugar, the data showed. Click here to read full stories.

Oct 8 - Lebanon wines bring villages back to life and emigrants home

Lured by Lebanon's winemaking potential and nostalgia for his homeland, Maher Harb left a Paris consultancy job in 2010 and dug vines into the soil of family land unused since the country's civil war. Seven years later his Sept winery launched its first commercial vintage and is now looking to export as a number of European countries take an interest. Click here to read full stories.

Oct 5 - Coffee industry should emulate wine, not soda - illycaffe chair

Persistently low coffee prices for producers across the globe are a serious threat to the commodity, said the chairman of Italian premium coffee maker illycaffe SpA, who expects prices to begin taking a toll on production in coming years. To adapt, the industry should focus on premium bean production, illycaffe's chairman, Andrea Illy, told Reuters in an interview on Wednesday. Click here to read full stories.

Oct 4 - Mexico's sugar crop seen around 6 mln tonnes, demand down

Mexican sugar production during the 2018/2019 season is expected to be some 6 million tonnes or just over that figure, the head of the country's national sugar chamber Humberto Jasso said on Wednesday. "There are reasons to believe the harvest could remain around 6 million tonnes or be a little higher...there has been good rain so there are no reasons to foresee a drop" in production, Jasso told reporters. Click here to read full stories

Oct 4 - Thai sugar, sugarcane output set to fall  - USDA

Thai sugar and sugarcane production are forecast to decline in 2018-19 as consumption wanes and non-alcoholic beverage makers use less sugar after the nation passed a tax on sugary drinks, the U.S. Department of Agriculture (USDA) said. Sugarcane production is forecast to decline 4 percent to 130 million tonnes in 2018-19, due to reduced average yields after less rain fell than expected in major growing areas, according to an attache report published on the USDA website on Wednesday. Click here to read full stories

Oct 2 - S. African sugar makes rare appearance in small ICE October expiry 

Raw sugar from South Africa made a rare appearance in the cash delivery against an ICE Futures U.S. contract, exchange data and traders said on Monday, the latest sign of the impact of excess global supplies and changes in European Union policy. A Louis Dreyfus Company BV unit was the sole buyer of about 271,000 tonnes of raw sugar delivered against the ICE contract that expired on Friday, ICE data showed on Monday. Click here to read full stories.

Oct 2 - Coffee industry could act to raise prices -Brazil association ABIC 

The coffee industry could take joint action to combat the impact of low global prices on producers, such as restricting supply, but a decision can only be made after uncertainty over Brazil's election passes, the head of a Brazilian industry group said on Monday. Brazil's weak real currency and widespread shortselling of coffee futures helped push prices in New York to a 12-year low in September.  Click here to read full stories.

 

Oct 2 - Mexican sugar exports to rise as domestic consumption shrinks - USDA 

Mexico's sugar exports are slated to jump over 30 percent in 2018-19 as health concerns curb domestic consumption, the U.S. Department of Agriculture (USDA) said in an attache report published on its website on Monday. Consumption in Mexico is expected to fall to 4.60 million tonnes raw value in the crop year that began Oct. 1, compared to 4.57 million in 2017-18 and 4.79 million in 2016-17, the report said. Click here to read full stories.

Oct 2 - Ivory Coast cocoa farmgate price up in new season, Ghana's flat 

Ivory Coast, the world's top cocoa grower, raised the guaranteed price it pays farmers by 7 percent to 750 CFA francs ($1.34) per kilogramme for the 2018/19 main crop, while Ghana kept its price flat, the two countries announced on Monday. Ghana's government said it would not change the farmgate price it pays cocoa farmers, maintaining it at 7.6 cedis ($1.53) per kg, Minister of Agriculture Owusu Akoto Afriyie told the industry in the capital Accra. Click here to read full stories.

Oct 1 - Shippers cut Ghana cocoa export freight by 9.4 pct - Body 

Shippers ferrying Ghana's cocoa exports to Europe will cut their freight charges by 9.4 percent for the October-September season to compensate the country for recent global bean price falls, the head of the Ghana shippers authority said on Friday. Benonita Bismarck said that from Monday, shippers will charge 35 pounds per tonne for cocoa shipments to Europe, compared with the 39 pounds its members received in the previous season. Click here to read full stories.

Oct 1 - Speculators cut bearish stance in ICE coffee, lift bearish cocoa bet 

Speculators cut their bearish stance in arabica coffee contracts back from a record and increased their net short position in cocoa to its highest level in nine months on ICE Futures U.S. in the week to Sept. 25, according to U.S. government data. They increased their net short position in sugar and cut their bullish stance in cotton futures and options, U.S. Commodity Futures Trading Commission data showed. Click here to read full stories.

Oct 1 - El Salvador 2018-19 coffee harvest to rise 9 percent - government 

Coffee production in El Salvador is set to rise by 9 percent in 2018-2019 compared with the previous harvest, aided by forest renewal projects and better control of fungus epidemics, authorities said on Sunday. Agriculture Minister Orestes Ortez predicted that coffee production would reach 766,666 sacks of 60 kilograms, or 132 pounds, the largest harvest since an outbreak of roya decimated the impoverished Central American country's plantations in the 2013-14 harvest. Click here to read full stories.

Oct 1 - Louis Dreyfus seen scooping up small ICE October sugar delivery - traders 

Louis Dreyfus Company was seen as the sole buyer of about 271,000 tonnes of raw sugar against the ICE contract that expired on Friday, marking the smallest delivery against an October contract since 2011, according to traders and data. The delivery against the October raw sugar contract on ICE Futures U.S. was expected to total just 5,337 lots of raw sugar, according to three traders. Click here to read full stories.

Sep 28 - Ethanol sheltering Brazilian mills from sugar price plunge - Apex-Brasil 

Ethanol production is softening the blow of plunging world sugar prices for Brazil's mills, although the sector could see further consolidation, the country's trade and investment promotion agency said on Thursday. World sugar prices dropped to their lowest in more than 10 years this week, primarily pressured by over-production in India, Thailand and the European Union in the current season. Click here to read full stories.

Sep 28 - Ghana, Ivory Coast cocoa plan to have limited effect on world prices - report 

Plans by the world's top cocoa growers Ivory Coast and Ghana to harmonise bean prices are unlikely to have much effect on world markets because of differences between their marketing systems and minimal domestic processing, Fitch Solutions analysts said. The two countries account for about 60 percent of global output but exert limited influence over international prices, which have stayed low in recent years due to overproduction. Click here to read full stories.

Sep 28 - Cargill and Wilmar seeking to buy liquidated cocoa assets in Ivory Coast - sources 

Agro-industry firms Cargill, Wilmar and Touton have made offers for the liquidated assets of Ivory Coast's top cocoa exporter SAF-Cacao, bankers and sources at the country's cocoa board (CCC) said on Thursday. A court ordered the liquidation of SAF-Cacoa, which purchases between 150,000 and 200,000 tonnes of cocoa beans each season, in July over debts it owed to the CCC.  Click here to read full stories.

Sep 27 - Ivory coast removes private sector from board of cocoa regulator - spokesman 

The Ivory Coast government has removed private sector members from the board of the Coffee and Cocoa Council (CCC), its spokesman said on Wednesday, part of efforts to reform the cocoa sector by the world's largest producer. Alongside representatives of the state and producers on the CCC board, private sector exporters, grinders and banks helped set a minimum price for farmers, as well as a pricing scale that determined all costs linked to the buying and exporting of cocoa beans. Click here to read full stories.

Sep 26 - Ivorian banks consider offering discount on SAF-Cacao debt 

Banks in Ivory Coast are considering whether to offer a discount on the debt of failed giant cocoa exporter SAF-Cacao to entice buyers, three bankers involved in the negotiations told Reuters on Tuesday. A court ordered in July the liquidation of SAF-Cacao, the top exporter in the world's leading cocoa grower, over defaults on cocoa contracts during the 2015-18 seasons.  Click here to read full stories.

Sep 26 - Almost 40 pct of Brazil mills to end cane crop a month earlier 

Almost 40 percent of the mills in Brazil's center-south, the region that supplies most of the global sugar trade, will end cane processing in October, more than a month before normal, cane industry group Unica said on Tuesday. Mills managed to keep a quick processing pace during most of the season that started in April due to a drier-than-normal weather in Brazil's center-south. Click here to read full stories.

Sep 25 - Eyes on Ghana, Ivory Coast As Cocoa Pricing Panels Convene (Dow Jones)
Traders are watching closely as cocoa pricing committees in Ivory Coast and Ghana convene ahead of the 2018-19 season due to open next month, says Ghana's regulator Cocobod. The two producers plan to announce a fixed farm gate price simultaneously for the first time in decades, in the latest effort to exert more influence on global cocoa markets. Edward George, a commodity analyst with West Africa Banking group Ecobank notes that the development builds a strong "foundation for closer cooperation" as Ghana and Ivory Coast, who account for 60% of global supplies cement efforts to harmonize marketing activities. Cocoa prices have recovered in recent weeks over supply disruption fears amid reports of Black Pod disease spreading across West Africa.

Sep 25 - Ivorian cocoa farmers welcome drop in rainfall, expect higher farm price 

Dry spells across most of Ivory Coast's cocoa-growing regions last week will help dry the first beans of the October-to-March main crop, farmers said on Monday, as they look for a higher minimum price this year. The top grower sells forward the bulk of its anticipated harvest in order to set a minimum price for farmers, known as the farmgate price, at the start of the season. Click here to read full stories.

Sep 24 - Speculators boost bearish stance in coffee to record high -CFTC

Speculators increased their bearish stance in arabica coffee contracts to a record high but slashed their bearish position in raw sugar on ICE Futures U.S. in the week to Sept. 18, U.S. government data showed on Friday. They also increased their net short position in cocoa and trimmed a bullish stance in cotton futures and options, data from the Commodity Futures Trading Commission (CFTC) showed. Click here to read full stories.

Sep 24 - Dreyfus Brazil sugar unit sells mill to pay debt, boosts ethanol stock

Biosev, the Brazilian sugar firm controlled by commodities trader Louis Dreyfus, sold a mill to pay down debt and is taking measures to boost ethanol stocks, the company's chief financial officer said on Friday. Biosev sold the Estivas sugar mill located in the Rio Grande do Norte state, in Brazil's northeast region, for 203.6 million reais ($50.38 million) to an investment fund whose name was not revealed. Click here to read full stories.

Sep 24 - EU set for drought-reduced sugar beet crop as harvesting gets going

Parched summer conditions are expected to reduce this year's EU sugar beet crop and the bloc could be heading for a further decline next year as farmers and sugar companies react to a price slump fuelled by market reform. Sugar beet harvesting is under way and, though heatwaves and drought have curbed yield prospects, results could vary widely depending on the severity of local weather, producers say. Click here to read full stories.

Sep 21 - Weekly Pepper Bulletin Week, 17-21 September 2018 (WPB)
- Pepper prices were relatively stable. Marginal decrease in Sri Lanka was due to weakening Sri Lankan Rupees against US dollar. India is mostly silent. In Viet Nam, local price of pepper stood at the level of VND 50,500 and VND 82,500 per Kg for black and white pepper respectively. When compared to last week average price, the local price of black pepper increased marginally by 1%.
- In August, Viet Nam exported 23,100 Mt of pepper (19,990 Mt of black and 3,110 Mt of white pepper), valued at US$69 million. Up to August 2018 total export of Viet Nam was 176,700 Mt valued at US$ 590 million. Out of this, 157,900 Mt was black pepper and 18,800 Mt was white pepper. The United States continued to be the main destination, absorbing 31,600 Mt, followed by China, the most impressive growth market, importing 25,700 Mt of pepper from Viet Nam in the first eight months, a significant increase of 16,600 Mt from previous year corresponding period import. Other source for China comes from Indonesia and Cambodian shippers at the Cambodian border. For the US and EU, Brazil is mainly the source.

Sep 21 - Import of pepper by FRANCE (WPB)
- In 2017 France imported 10,800 Mt of pepper (8,150 Mt of whole and 2,650 Mt of ground pepper), a decrease of 6% as against 11,500 Mt (8,500 Mt of whole and 3,000 Mt of ground pepper) in 2016.
- During January - June 2018, France has imported 5,710 Mt (4,270 Mt of whole and 1,440 Mt of ground pepper), recording a marginal increase of 5% when compared with import of 5,425 Mt (4,015 Mt of whole and 1,410 Mt of ground pepper) during same period in the year 2017. Brazil was the main source of pepper for France in the first half of the year, supplying 42% of total pepper imported into France. Viet Nam supplied 16% followed by Indonesia 7% and India 4% respectively. Germany, the Netherland and Spain also supplied significant quantity of ground pepper into France in the first six months 2018.

Sep 21 - Ghana's Cocobod signs $1.3 bln syndicated loan for 2018/19 cocoa buying

Ghana's Cocobod signed a $1.3 billion loan with international banks on Thursday to finance beans purchases for the 2018/19 season and is seeking additional funds to boost farm productivity, its director said. Joseph Boahen Aidoo said Cocobod was in talks with lenders for a $300 million medium-term facility to fight cocoa diseases, expand hand pollination and other agronomic practices aimed at increasing yield. Click here to read full stories.

Sep 21 - Tereos seeks 5 pct drop in French 2019 sugar beet output

Tereos, one of the world's largest sugar makers, is seeking to cut its sugar beet production next year by 5 percent and has asked its cooperative members to reduce plantings, it said on Thursday, citing difficult market conditions. A surge in output after the European Union abolished production quotas last year and a 50-percent slump in prices since early 2017 in an oversupplied world market have left many EU sugar firms struggling with plunging profits. Click here to read full stories.

Sep 21 - Suedzucker cuts earnings forecast due to low sugar prices

Expectations that low sugar prices will fail to recover in the near-term prompted Europe's largest refiner Suedzucker to cut its full year earnings forecast on Thursday, sending its shares down as much as 8 percent. Suedzucker now expects group operating profit of 25 million euros to 125 million euros ($29.29 million to $146.46 million) in its current 2018/2019 financial year, down from a previous forecast of 100 to 200 million euros, the company said in an advance release of its quarterly earnings. Click here to read full stories.

Sep 20 - ICE October white sugar delivery totals 25,450 tonnes  

A total of 25,450 tonnes of white sugar was tendered against the October contract on ICE Futures Europe, exchange data showed on Monday. ED&F Man Capital Markets was the buyer of the entire volume against the contract, which expired on Friday. Click here to read full stories.

 

Sep 20 - Mars aims to tackle "broken" cocoa model with new sustainability scheme

Mars Wrigley Confectionery launched a new sustainability strategy on Wednesday with the aim of combating deforestation, child labour and poverty in what it called the "broken" cocoa supply chain. U.S.-based Mars, the maker of M&Ms and Snickers, said it had revamped its cocoa strategy in an effort to tackle problems that the company and wider industry had so far failed to address. Click here to read full stories

Sep 20 - India to consider sugar export subsidy proposal next week - Food Min

India will consider various proposals to support the sugar industry, including incentives for exports, at next week's cabinet meeting, Food Minister Ram Vilas Paswan said on Wednesday. The proposals were supposed to be discussed on Wednesday. Click here to read full stories

Sep 19 - India could offer incentives for exports of 5 mln T sugar - sources

India is likely to consider on Wednesday a proposal to get mills to export 5 million tonnes of sugar by incentivising overseas sales in the 2018/19 season, two government officials said. The world's second biggest sugar producer is trying to reduce a growing stockpile and the rise in shipments could put pressure on global prices that are trading at near their lowest level in a decade. Click here to read full stories.

Sep 19 - Brazil raises 2018 coffee forecast to record 59.9 mln bags

Brazil's government on Tuesday raised its forecast for the country's 2018 arabica and robusta coffee crops to a record 59.9 million 60-kg bags, citing bountiful yields for both varieties. Brazil's agricultural statistics agency, Conab, revised upwards its May projection of 58.04 million bags. In the previous season, coffee output was 44.97 million bags. Click here to read full stories.

 

Sep 19 - Australia's strawberry needle scare spurs proposal for 15-year jail term

Australia plans to increase the maximum jail term to 15 years for anyone convicted of contaminating foodstuffs, Prime Minister Scott Morrison said on Wednesday, as a scare over needles found in strawberries and other fruits gripped the country. Police are investigating more than 100 reports of needles found in fruit. Needles, first found in strawberries produced by one supplier in the northern state of Queensland, are now turning up around the country. Click here to read full stories.

 

Sep 18 - Cocoa market on behalf of HCCO

It was a quiet (too quiet) day in cocoa. March 19 was trapped in a range of just GBP 7 for most of the day. In the afternoon, there was a little more movement, with no discernible trend, March 19 finally ended the day at GBP 1622 at GBP +9. High GBP 1633 / low GBP 1610. Technically, we are still at the lower end of the final downward movement, next support at GBP 1600, resistance at GBP 1649 (10 days moving average).

Sep 18 - Coffee producers seek urgent talks with industry on low prices

Coffee producers are seeking urgent meetings with major customers such as Nestle, Jacobs Douwe Egberts and Starbucks to find ways to shore up prices that have slid to 12-year lows. The World Coffee Producers' Forum, whose members account for about 85 percent of global production, held a press conference on Monday after meeting to discuss the price crisis. Click here to read full stories.

Sep 18 - Ivory Coast cocoa crop remains healthy despite humidity, say farmers

Above average rainfall in most of Ivory Coast's cocoa regions last week continued to boost the October-to-March main crop, farmers said on Monday, despite fears the humidity could impact bean drying. Farmers said they were expecting an abundant crop this season and that harvesting, which started slowly in some areas, would pick up gradually over October and November. Click here to read full stories.

Sep 18 - EU crop monitor trims maize, sugar beet yields again after drought

The effects of a summer drought have continued to weigh on crops in the European Union despite less severe conditions in the past month, the EU's crop monitoring service said on Monday, as it trimmed its outlook for 2018 maize and sugar beet yields. Persistent dryness, which has hurt crops and parched grasslands across northern Europe, also poses a risk for the rapeseed that has just been sown for next year's harvest, the MARS service said. Click here to read full stories.

Sep 18 - Cuban agriculture faces another hard year as produce sales drop

Cuba moved nearly 15 percent less produce through domestic markets during the first six months of the year, compared with the same period in 2017, signaling another bad year for its agricultural sector, according to a government report. The market sales in the report, issued over the weekend, account for 10 percent to 15 percent of agricultural output, according to a local expert, who requested anonymity due to restrictions on talking with journalists. Click here to read full stories.

Sep 17 - Cocoa Market review on behalf of HCCO

Profit-taking of the shorts, as well as active price hedging by the industry, ensured a firmer day. March 19 traded to highs of GBP 1642 only to correct in the afternoon (after New York's opening). Finally, the day ended almost unchanged at GBP 1613 / GBP +2. The psychological resistance of GBP 1600 / 2 month was tested again but not breached. New York appears to be moving around the 40-day moving average at $2246 an ounce, ending the day at $+15 an ounce at $2253 an ounce. Fundamental news? No, the market continues to wait for fresh tradable news and the start of the new season.

Sep 17 - Tanzania Mild Arabica Fell, Robusta Rose at Auction (Dow Jones)
- Prices of mild arabica fell and robusta rose at Tanzania's most recent auction on Sept. 13, the Tanzania Coffee Board said Monday.
  The overall average price of a 50-kilogram bag of mild arabica was down $1.88 while robusta rose by $4.50 compared with the last auction on Sept. 6, the board said.
   A total of 25,172 bags of mild arabica were offered, of which 24,765 were sold, while 8,738 bags of robusta were offered, of which 5,848 were sold. A total of 3,704 bags of unwashed Arabica was offered, of which 959 were sold.

Sep 17 - Global Cocoa Output Growth Seen Lower As Prices Bite (Dow Jones)
- The strong global cocoa production witnessed in recent years will likely slow starting next season, as lower average prices discourage farmland expansions and increased input use in West Africa, says Fitch Solutions. Ivory Coast and Ghana, the world's top growers will see poor growth from 2018-19, as farmers struggle to expand orchards amid low prices. Cocoa prices, now at multiyear lows may further weaken given the high sugar content of most cocoa-based products, as consumer preferences shift towards healthier products. "By 2021-22, we expect production in both Cote d'Ivoire and Ghana to be lower than 2016-17, as lower farmgate prices and reduced fertilizer subsidies prevent farm expansion and limit yield growth," Fitch Solutions says.

Sep 17 - Brazil coffee, corn may hit minimum prices after election - official

Brazil's coffee and corn prices could fall to the government's guaranteed minimum prices if the weakening real currency reverses direction after October's wide-open presidential election, an Agriculture Ministry official said on Friday. That would trigger the government's subsidy program that pays producers the difference between the market price and the guaranteed minimum, Savio Rafael Pereira, deputy secretary for agriculture policy, said in an interview. Click here to read full stories

Sep 14 - Cocoa market view on behalf of HCCO [report@hcco.de]
A subdued morning / noon was followed by a bang in the late afternoon. While only 2000 lots had been traded by noon, March 19 lost over GBP 40 in minutes and traded to lows of GBP 1610 to end the day at GBP -41 at GBP 1611. Triggered by speculative selling (fresh shorts) and breaking through the GBP 1600 mark in the first position Dec 18, oil was also poured into the fire, bringing the market to a new 4 week low. Next support is seen in Dec 18 at GBP 1578 (August low) and GBP 1600 in March 19. New York lost nearly $100 in March 19 and ended the day at $-84 at $2238, also a 4-week low. Industry cautiously hedged the market, with the bear not yet strong enough for some...

Sep 14 - Weekly Pepper Bulletin, Week 10-14 September 2018 (WPB)
The market showed a mixed response during the week. In India the price decreased further after experiencing increase in August influenced by flood incident in Kerala. In Sarawak, the price also decreased. In Lampung, Bangka and Sri Lanka, the prices were reported to remain stable while in Viet Nam the price of black pepper has shown an increasing trend locally. There is an important turn in the market sentiment in Viet Nam which showed an increase of 6% as compared with last week price. Some factors were probably counted for as Indonesia crop ended, Brazil origin was overbooked in Sep/Oct. The market may rise from this level thanks to a squeeze in the short run.

Sep 14 - Import of Pepper by SOUTH KOREA (WPB)
Import of pepper into South Korea increased year by year from 4,300 Mt in 2011 to 6,150 Mt in 2017. Out of the total imported by South Korea, around 8% was ground pepper. Almost 90% of pepper imported by South Korea was sourced from Viet Nam. It is interesting to note that although Vietnamese export increase this year, import into Korea is estimated to decrease, as indicated by total import realized in the first seven months. During January - July 2017, South Korea imported 3,560 Mt of pepper consisting of 3,264 Mt of whole pepper and 296 Mt of ground pepper, as against 4,600 Mt in the same period last year, registering a significant decrease of 23%.

Sep 14 - Ghana's cocoa purchases reach 870,000 tonnes as season closes - sources

Cocoa purchases declared to Ghana's Cocobod reached 870,000 tonnes in the 2017-18 crop year which ends on Thursday, more than the regulator had projected but lower than the previous year, three industry sources said. Purchases in the world's second largest cocoa exporter after Ivory Coast had been forecast at 850,000 tonnes in the period. Click here to read full stories.

Sep 14 - Dryness cuts crop for world's largest sugarcane plant in Brazil

The world's largest sugarcane processing plant, a Brazilian mill able to process 10 million tonnes per year, has recorded a drop in cane crushing for the second consecutive season because of excessive dryness in Sao Paulo state, an executive said on Thursday. Brazil's center-south, the world's largest cane growing region, will likely have a smaller crop this year for the fourth consecutive year. Besides the weather, analysts blame factors including financially-troubled companies reducing investment. Click here to read full stories.

Sep 13 - Brazil, Australia to fight any Indian sugar export subsidy

Brazilian and Australian sugar industry groups are working together with their respective governments to prepare a formal complaint to the World Trade Organization (WTO) over any possible sugar export subsidy by India, a top Brazilian sugar official told Reuters. Brazil and Australia view any subsidy by India, set to take over as the world's largest sugar producer this year, as a grave threat to a recent price recovery, Eduardo Leão, executive director at Brazil's cane industry group Unica, said in an interview.  Click here to read full stories

Sep 13 - Brazilian coffee exports jump 33 pct in August; robusta rebounds

Brazil exported 3.07 million bags (60 kg) of coffee in August, the largest monthly volume in the last two years and 33 percent more than levels in the same month a year before, exporters association Cecafé said on Wednesday. With the harvest of a record crop completed and beans showing high quality, Cecafé said volumes were significant. Shipments of the robusta type recovered strongly, with exports of 537,000 bags in August compared with only 29,000 bags a year earlier. Click here to read full stories

Sep 11 - Ivory Coast issues 68 cocoa export licences for 2018/19 season

Ivory Coast granted cocoa export licences to 68 companies and cooperatives for the 2018/19 season, a document seen by Reuters showed on Monday, despite earlier indications that far fewer would be approved to reduce the risk of defaults. The country's Coffee and Cocoa Council (CCC) regulator has been taking steps to strengthen the market after a plunge in world cocoa prices during the 2016/17 season left many local exporters, who had speculated prices would rise, unable to execute their contracts and pay back bank loans.  Click here to read full stories

Sep 10 - Uganda coffee shipments down 8 pct in July from a year earlier - regulator

Uganda's coffee exports in July dropped 8 percent compared to same month last year, the state-run sector regulator Uganda Coffee Development Authority (UCDA) said in a report seen by Reuters on Friday. It shipped a total of 393,022 60-kg bags of coffee in July compared to 427,204 bags exported in same month last year. Coffee is Uganda's single largest commodity export and a major source of foreign exchange for the country. Click here to read full stories

Sep 10 - Mauritius trims 2018 sugar output due to drop in global prices

Mauritius cut its 2018 sugar output forecast by 5.7 percent on Saturday, blaming a drop in global prices, an industry body said. The Chamber of Agriculture said it now expects production of 330,000 tonnes this year, down from 350,000 tonnes forecast in May. Click here to read full stories

Sep 07 - Weekly Pepper Bulletin, Week 3-7 September 2018 (WPB)
- Pepper market is weakening because current economic situation in general is experiencing shocks due to the continued strengthening of US dollar rate against other currencies, particularly in pepper producing countries, like India, Indonesia, Vietnam, Malaysia and Sri Lanka.
- During the week, domestic market of pepper showed a mix response. In Sarawak price decreased; while in Sri Lanka increased. Local price in Lampung, Kochi and HCMC were relatively stable. In dollar terms however, the price decreased marginally. Price in Sarawak decreased by 8% for black and 5% for white pepper; while in Sri Lanka black pepper price increased by 3%. In the case of fob price, it remained stable, with limited commitment.

Sep 07 - Import of pepper by JAPAN (WPB)
- In the last three years import of pepper into Japan has decreased from 9,100 Mt in 2015 to 8,750 Mt in 2016 and 8,200 Mt in 2017. Out of total import, around 60% was whole pepper, mainly from Malaysia and the balance of 40% was ground pepper, mainly from Indonesia and Vietnam.
- In 2018, import of pepper into Japan is estimated to increase as indicated by total import recorded during January-July this year. During seven months of the year 2017 import of pepper into Japan was 5,450 Mt, comprising of 3,170 Mt of whole pepper and 2,280 Mt of ground pepper. The import increased by 21% from 4,520 Mt (2,510 Mt whole and 2,010 Mt ground pepper) in January - July 2017. Import of whole pepper increased by 27% and for ground pepper increased by 13%.

Sep 07 - Brazil's sugar exports could drop to 22 mln T - industry official

Brazil's sugar exports are likely to fall 28.6 percent in 2018/19 from a year ago to 22 million tonnes as the South American country trims production of the sweetener to raise ethanol output, a senior industry official said on Thursday. Brazil's sugar production in the next season could fall nearly a quarter to 31 million tonnes, said Marcos S. Jank, chief executive of Asia Brazil Agro Alliance, an industry body. Click here to read full stories.

Sep 06 - India to surpass Brazil as top sugar producer, eyes bigger export share

India will surpass Brazil as the world's top sugar producer next year, with the South American country losing its lead for the first time since the 1990s as its mills allocate increasingly more cane for ethanol production and as low investments dent cane yields. At the same time, with subsidy schemes for a politically sensitive sector, India is expected to churn out a record sugar production of about 35 million tonnes in 2018/19 year starting in October, while Brazil's output could retreat by about 10 million tonnes from a year ago to about 30 million tonnes. Click here to read full stories.

Sep 05 - Banks see Brazil sugar sector shrinking on financial woes

Investment banks operating in Brazil's agricultural sector see a potential contraction in the country's sugarcane processing industry as many companies fail to make enough money to pay bills and better capitalized groups are not willing to invest. Brazilian investment bank Itaú BBA estimates that 18 sugar and ethanol companies in the country's top cane belt are not currently generating enough cash to maintain their operations, the bank's head of agricultural businesses Pedro Fernandes said on Tuesday. Click here to read full stories.

Sep 05 - U.S. apple farmers afraid they will be hurt by U.S.-China trade battle

Apple farmers across the U.S. Northwest fear they will be the next victims of a U.S.-China trade war that left cherry growers in the same region with weak prices and having to scramble for alternative buyers because of prohibitive Chinese tariffs. U.S. President Donald Trump has dealt a blow to farmers this year with strong-arm trade tactics that have prompted retaliation from key markets for U.S. products, including the sweet cherries and apples that speckle landscapes across the Western United States from summer through autumn. Click here to read full stories.

Sep 04 - Castlelake considering Brazil sugar mills for acquisition - source

Castlelake LP, a U.S.-based investment fund, is planning to acquire stakes in distressed Brazilian sugar and ethanol companies, a source with direct knowledge of the plans said on Monday. Castlelake, which defines itself as an investment firm "focused on alternative assets, sub-performing loans, dislocated industries and special situations", had access to extensive information on five Brazilian companies in the sugar and ethanol sector, the source said, asking for anonymity because they were not authorized to speak about the plan. Click here to read full stories.

Sep 04 - Brazil ethanol stocks to reach all-time high in Sept - trader

Stocks of ethanol in Brazil's center-south region are projected to reach their highest level ever later this month, as mills continued to favor production of the biofuel instead of sugar, Sao Paulo-based ethanol trader SCA said on Monday. SCA director Martinho Ono said he expected ethanol stocks to reach 11.73 billion liters late in September, surpassing a previous record of 10.14 billion liters seen in October, 2014. Click here to read full stories.

Sep 04 - Brazil ethanol stocks to reach all-time high in Sept - trader

Stocks of ethanol in Brazil's center-south region are projected to reach their highest level ever later this month, as mills continued to favor production of the biofuel instead of sugar, Sao Paulo-based ethanol trader SCA said on Monday. SCA director Martinho Ono said he expected ethanol stocks to reach 11.73 billion liters late in September, surpassing a previous record of 10.14 billion liters seen in October, 2014. Click here to read full stories.

Sep 03 - Speculators raise record bearish bet in raw sugar - CFTC

Speculators increased a record net short position in raw sugar futures and options on ICE Futures U.S. in the week to Aug. 28, as they cut the record bearish stance in arabica they had been holding since early July,U.S. government data showed on Friday. They reduced their bullish stance in cotton and their bearish position in cocoa, the Commodity Futures Trading Commission (CFTC) data showed. Click here to read full stories.

Aug 31 - Weekly Pepper Bulletin, Week 27-31 August 2018 (WPB)
- Pepper price in India moved up further. Flood in Kerala has influenced the price up. In HCMC Viet Nam, local price of black pepper also increased marginally. In Sri Lanka, average pepper price increased from LKR 527 per Kg last week to LKR 558 per Kg this week. Prices in Lampung, Bangka and Sarawak were relatively stable.
- Pepper harvest in Bangka has completed, In Lampung almost completed with significantly smaller output. In Sulawesi initial harvest has started and the main harvest is expected to take place in October-November. Pepper produced in Sulawesi is white pepper and only a marginal quantity as black.

Aug 31 - Import of Pepper by the UNITED STATES OF AMERICA (WPB)
- In 2017, Import of pepper into the United States of America increased by 2,900 Mt (4%) from 75,370 Mt in 2016 to 78,270 Mt in 2017, consisting of 54,740 Mt of black pepper, 6,020 Mt of white pepper and 17,510 Mt of ground pepper.  Import of black pepper increased by 6,700 Mt, but decreased for ground pepper by 3,950 Mt. Import of white pepper increased marginally by 160 Mt.
- In 2018 import of United States is estimated to remain high as indicated by total pepper imported into the United States during the first half of the year. During January - June 2018, import of the United States was 36,100 Mt, comprising of 24,830 Mt of black pepper, 2,800 Mt of white pepper and 8,470 Mt of ground pepper. The import recorded a decrease of 3% from the import of 37,040 Mt in the same period last year, mainly due to significant increase of black pepper import from Indonesia and ground pepper from India. Import from Brazil and Vietnam increased by 2,400 Mt and 2,700 Mt respectively.

Aug 31 - Brazil's early coffee flowering seen hurting arabica crop 

An early flowering in parts of Brazil's coffee fields in recent days is seen hurting quality and possibly volume of next year's arabica crop, although robusta output likely will be unaffected, according to market participants and coffee researchers. Brazil is finishing the harvest of a record crop around 60 million bags of coffee, mostly of the arabica type that is widely used by higher quality brands. Robusta coffee is largely sought after by the instant coffee industry. Click here to read full stories.

Aug 31 - Green Pool trims 2018/19 sugar surplus forecast 

Analyst Green Pool said on Thursday it had trimmed its forecast for an anticipated global sugar surplus in the 2018/19 season to 4.24 million tonnes, raw value, from a previous projection of 6.62 million. "The major contributions to the drop in the 18/19 surplus estimate are the EU and CS (Centre-South) Brazil," the Australia-based analyst said in a report. Click here to read full stories.

Aug 30 - Coffee exporters struggle to find ships for Brazil bumper crop 

Brazilian coffee exporters are struggling to find shipping capacity to transport a bumper crop from the world's top producer, which could result in supply delays to roasters worldwide. Abundant overall supplies in consuming countries, however, will limit any near-term impact from shipping delays of Brazil's new crop and are not yet seen impacting coffee prices that are 12-year lows. Click here to read full stories.

Aug 30 - Cameroon cocoa exporters, farmers flee crisis in Anglophone region 

Cocoa firms operating in Cameroon have moved staff out of the Anglophone region of the country and farmers are abandoning their crops in the area, as violence between separatists and security forces intensifies, exporters and farmers told Reuters. Sources say the deepening conflict has started denting cocoa output and flow from the southwest, stripping the region of its mantle as Cameroon's top cocoa-growing area. Click here to read full stories.

Aug 29 - Colombia to create fund to help coffee growers amid low prices

The Colombian government will place $34 million (100 billion pesos) in a fund to help coffee farmers hurt by low international prices, the finance minister and the head of the nation's coffee growers' federation said on Tuesday. The federation, which represents some 550,000 Colombian coffee-growing families, will form a round table with government representatives to decide a price level that will allow use of the money and how it will be distributed, federation chief Roberto Velez told reporters in Bogota. Click here to read full stories.

Aug 28 - Ivorian cocoa farmers expect abundant main crop after heavy rainfall 

Above-average rainfall throughout Ivory Coast's main cocoa growing regions last week boosted the development of pods on trees, farmers said on Monday, raising hopes for abundant October-to-March main crop harvests. In the centre-western region of Daloa, which produces a quarter of the top grower's output, farmers said cocoa trees were laden with big pods to be harvested over the next two or three weeks. Click here to read full stories.

Aug 28 - Hot spell hurt EU sugar beet, maize crops - crop monitor 

A continued heatwave and dry weather in most of northern and central Europe in the past month has hurt crops, prompting the European Union's crop monitoring service, MARS, to further cut yield forecasts for winter and spring harvests. In a monthly crop report released on Monday, MARS cut its sugar beet yield forecast more than 5 percent from July's estimate after scorching weather parched farmland across northern Europe, the largest growing region. Click here to read full stories.

Aug 27 - Brazil mills further cut cane allocation to sugar production 

Brazilian sugar mills further cut in the first half of August the amount of cane earmarked for sugar production to one of the lowest levels ever seen in the center-south region, cane industry group Unica data showed on Friday. The so-called sugar mix came down to only 35 percent in the period, with mills allocating the other 65 percent to ethanol production, since the biofuel has provided better returns than the sweetener, whose prices are hovering around the lowest in ten years. Click here to read full stories.

Aug 24 - Weekly Pepper Bulletin, Week 20-24 August 2018 (WPB)
- The market remained quiet with limited trading activity. In India and Sri Lanka however, price has moved up by 7%. Vietnamese offer weakened during the week due to limited demand. Sarawak black also eased marginally. In Lampung the price was reported stable, while in Bangka a marginal increase at local market was recorded. Selling pressure in Lampung and Bangka is less due to less output from current harvest.
- From Vietnam it was reported that export of pepper up to July has reached 153,600 Mt valued at US$ 521 million, consisting of 138,000 Mt of black and 15,600 Mt of white pepper. When compared to the same period last year the export increased by 4.4% in quantity, but decreased 35,7% in value. The United States, China and India were the three largest importers of pepper from Vietnam. Together imported 40.85% of Vietnamese pepper export. Import of China from Vietnam increased fantastically this year from 8,260 Mt to 22,225 Mt. Import into India also increased by 3,864 Mt and to the United States increased by 1,944 Mt. Other markets such as Pakistan, Ireland, Germany, Netherlands, Spain, Ukraine and Poland, have also imported significant quantity.

Aug 24 - Flood damage may slash India's coffee output by 20 pct -trade body 

India's coffee production in 2018/19 is likely to fall by at least one-fifth from a year ago as floods in key producing states damaged the crop and delayed exports, industry officials told Reuters. Some of the worst flooding in India in a century killed hundreds of people in the southern states of Kerala and Karnataka earlier this month, both of which account for more than 90 percent of the country's total coffee production. Click here to read full stories.

Aug 24 - Cargill to build plant in Brazil to produce ingredient pectin 

Cargill Inc will invest 550 million reais ($140.59 million) to build a new plant in Brazil in 2019 to produce the food ingredient pectin, the company said on Thursday. Cargill said it plans to export future pectin production in Brazil to several of its markets abroad. The ingredient, which is made from citric fruits, is a texturizer used in jams, beverages, dairy products and confectionery. Click here to read full stories.

Aug 24 - Sugar price drop hits Tereos' first-quarter earnings

French cooperative group Tereos, one of the world's largest sugar makers, reported a fall in quarterly earnings as historically low prices outweighed stronger volumes following the liberalisation of the European sugar market. Tereos' adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) in the first quarter of its 2018/19 financial year came to 84 million euros ($96 million), down 29 percent from 118 million in the year-earlier period, the group said in an non-audited results statement on Thursday. Click here to read full stories.

 

Aug 23 - Wilmar scoops up rival Bunge's sugar trading operations 

Singapore-based agribusiness Wilmar International Ltd has scooped up the sugar trading book of rival Bunge for an undisclosed amount, the companies said on Wednesday. The sale is the latest in Bunge's efforts to reduce its exposure to a struggling sugar unit, which the company first said in 2013 it was looking to sell. Bunge said earlier this year it would seek to sell its trading operations separately from its production assets in Brazil. Click here to read full stories.

Aug 23 - Brazil's sugar output to fall further as ethanol wins favor - Datagro 

Brazil's center-south is expected to produce 27.9 million tonnes of sugar this year, 22 percent less than in 2017, as mills continue to strongly favor ethanol production at the expense of the sweetener, Sao Paulo-based consultancy Datagro said on Wednesday. Datagro revised downward its sugar production forecast from an already low number of 28.2 million tonnes released in July as depressed global prices make ethanol a better option for millers. The consultancy increased its projection for ethanol production to 30.1 billion liters from 28.75 billion liters. Click here to read full stories.

Aug 23 - ISO sees 2018/19 sugar surplus of 6.75 mln T 

The International Sugar Organization forecast on Wednesday that there would be a global sugar surplus of 6.75 million tonnes, tel quel, in the 2018/19 season (October/September). The inter-governmental body, in a quarterly report, also trimmed its forecast for an anticipated surplus in 2017/18 to 8.60 million tonnes from a previous projection of 10.51 million. Click here to read full stories.

Aug 23 - Ivory Coast to auction cocoa crop in advance to guarantee price for season 

Ivory Coast's Cocoa Coffee Council (CCC) has decided to auction all of its cocoa production to exporters in advance in order to set a guaranteed price throughout the season for producers, CCC sources said on Wednesday. Approximately 1.7 million tonnes of cocoa export contracts have already been sold in mid-August, which should allow the CCC to set a guaranteed price of between 750 and 800 CFA per kg in October, the sources said. Click here to read full stories.

 

Aug 23 - Colombia to consider aiding struggling coffee farmers 

The Colombian government is examining possible help for coffee farmers hit by low international prices, the agriculture minister said on Wednesday, after repeated requests for aid by the country's coffee growers' federation. Colombia is the world's largest producer of washed arabica and the federation represents some 550,000 families. Click here to read full stories.

Aug 22 - Brazil's Conab raises cane crush view, cuts sugar output forecast 

The Brazilian government on Tuesday raised its projections for cane crush for both the country and for the center-south region, a surprising move while most analysts are cutting their views due to drier-than-normal weather this year. Agricultural statistics agency Conab projected Brazil's total cane crush in the current crop at 635 million tonnes compared to 625 million tonnes in its May estimate and 633 million tonnes in the previous crop (2017/18). The agency, however, lowered its views for sugar production both for the country and for the center-south region. Click here to read full stories.

Aug 22 - Honduran president proposes $200 mln fund for coffee farmers 

Struggling coffee farmers in Honduras could soon have access to a new loan program worth about $200 million if the country's Congress approves the proposal announced late on Tuesday by President Juan Orlando Hernandez. The aim of the new loan program is to help coffee farmers in Honduras, Central America's top producer, pay for costly inputs like fertilizers despite slumping coffee prices. Click here to read full stories.

Aug 21 - Ivory Coast bank woes threaten to slow early cocoa purchases 

Poor liquidity within Ivory Coast's banking system caused by the collapse of the top cocoa producer's largest domestic exporter risks hindering exports at the start of the upcoming main crop, exporters and bank officials said. A sharp drop in world prices in the middle of the 2016/17 season left many local exporters, who had speculated prices would rise, unable to execute their contracts and pay back bank loans. Click here to read full stories.

Aug 21 - Ivory Coast cocoa crop healthy despite meagre rainfall, farmers say 

Medium-sized cocoa pods are developing well on trees in top grower Ivory Coast ahead of the October-to-March main crop harvest despite below average rainfall last week, farmers said on Monday. In the southern regions of Divo and Agboville, farmers said small pods and cherelles were growing well but they feared the overcast weather could cause disease. Click here to read full stories.

Aug 20 - Weekly Pepper Bulletin, Week 13-17 August 2018 (WPB) 

The market was quiet during the week due to lack overseas demand. In Middle East and Europe market remained close in view of pilgrimage holiday season in Middle East and summer holiday in Europe. More active market is reported in the USA.

In Lampung pepper harvest is ongoing but market remained slow moving in view of low prevailing price coupled with less output this year. In dollar terms, price in Lampung and Kochi decreased marginally due to weakening of local currencies in these countries. In HCMC, local prices touched a very low level which is about VND 50,000. In Sri Lanka, average price at main growing areas increased by 5% this week. In Bangka, local price was IDR 50,000 per Kg. In dollar terms the price decreased by 6%.

Aug 20 - Export of Pepper from BRAZIL (WPB) 

Up to June 2018, Brazil has exported 31,200 Mt valued at US$ 99 million as against 21,000 Mt worth US$ 125 million exported in January - June 2017, recording an increase of 48% in quantity, but decreased in value by 21%. The significant increase of export in the first six months is possible due to large stock carried forward from last year good harvest. In addition to the above observation, pepper harvest in Esipirito Santos early this year is also contributed to make more supply in the first half of the year. Germany and the United States are remained the most important markets for Brazilian pepper which each absorb about 18%. It is interesting to note that in the first six months, Morocco emerged as the third important market for Brazilian pepper, absorbing 15%, replacing Viet Nam and the Netherlands to the next position absorbing 8% and 7% respectively. France and Mexico also imported a significant quantity of pepper from Brazil.

 

Aug 17 - Brazil finishes robusta coffee harvest; arabica near end

Brazilian coffee farmers, who are advancing quickly with the harvest of this year's crop, have concluded the collection of robusta beans and are nearing the end of work with arabica, consultancy Safras & Mercado said on Thursday. Safras projected that farmers harvested 88 percent of the area with coffee by Aug. 14 compared to 91 percent a year earlier. Considering the current crop is much larger than the previous one, field work is on schedule. The five-year average for this time of the year is 86 percent. Click here to read full stories

Aug 17 - Sugar giant Tereos expels three members amid strategy row

France's Tereos, one of the world's largest sugar makers, has expelled three cooperative members it accuses of damaging its reputation in a row over the group's push to diversify. The internal wrangling involves some senior representatives of the 12,000 French sugar beet growers who control Tereos. It comes as Europe's sugar sector is under pressure from falling world prices after ramping up supply to benefit from last year's abolition of European Union sugar quotas. Click here to read full stories

Aug 16 - South Africa hikes sugar import duties to protect local industry 

South Africa has raised import duties on sugar to $680 from $566 a tonne to protect the domestic industry against a surge in imports, the trade and industry minister said on Wednesday. The South African Sugar Association applied in February to have the tariff raised to $856 a tonne, but the International Trade Administration Commission of South Africa (ITAC), which conducts customs tariff investigations and proposes trade remedies, set a lower import duty. Click here to read full stories.

Aug 15 - Hot, dry summer could curb EU sugar beet harvest  

Scorching weather that parched farmland across northern Europe has also stressed sugar beet plants and could push yields in the European Union's harvest well below last year's bumper levels. The EU's executive had already projected a fall in sugar production in 2018/19 after heavy rain delayed spring planting, and a hot summer in top producing countries France, Germany, Poland and Britain could make the decline steeper.  

 

Aug 14 - Ivory Coast sunny spells boost cocoa main crop, farmers say 

Sunny spells last week in most of Ivory Coast's cocoa growing regions boosted the development of the forthcoming cocoa main crop even as rains remained below average, farmers and agronomists said on Monday. Agronomists in Ivory Coast, the world's top cocoa producer, told Reuters that plantations needed regular sunshine and occasional rains in the coming weeks to help tree roots to breathe and allow small pods to mature. Click here to read full stories.

Aug 14 - Brazil's farmers dump sugar for soy as trade war boosts Chinese demand 

Last year, Brazilian farmer Gustavo Lopes sized up his sugarcane plantation against his soybean fields. He looked at global trends, including rising U.S.-China trade tensions and a stubborn sugar-market glut. Then he tore up the last of his cane fields and ditched a decades-old supply contract with a local sugar mill. Click here to read full stories.

Aug 13 - After big-name cocoa sector exits, small firms start filling trade gap 

A number of small trade houses are beefing up their cocoa teams, as a wave of high-profile exits left the sector highly concentrated, presenting more physical trading opportunities. Cocoa has seen the exit of major entities including Noble Group and ADM in recent years, as increased volatility squeezed trade margins. Others significantly reduced operations and exposure. Click here to read full stories.

Aug 13 - Speculators lift bearish arabica coffee stance to record - CFTC 

Speculators increased their net short position to a record in arabica coffee futures and options on ICE Futures U.S. in the week to Aug. 7, as they switched to a net short stance in cocoa, U.S. Commodity Futures Trading Commission data showed on Friday. They lowered their bullish stance in cotton and trimmed a net short position in raw sugar, the data showed. Click here to read full stories.

Aug 10 - Weekly pepper Bulletin, Week 6-10 August 2018 (WPB)
The market showed a mixed response and continued to lackluster. Price of pepper decreased during the week except in India, ungarbled black pepper price increased from INR 339 per Kg last week to INR 351 per Kg at the week's close. In Viet Nam, on average, local price still was lower from previous week's average but it moved up marginally on Tuesday, 7 August. It is observed that good buying from China and markets have bounced back. It is an expectation that this is a good signal for price improvement in near future.

Aug 10 - Export of pepper from VIET NAM (WPB)
In 2017, production of pepper in Viet Nam was around 200,000 Mt. Together with pepper imported from other producing countries a volume of 215,000 Mt was exported, recording a fantastic increase of 21% from 178,000 Mt in 2016. In 2018 production and export from Viet Nam is estimated to remain high, as indicated by export performance achieved in the first half of the year.
During January - June 2018 Viet Nam has exported 132,152 Mt, valued US$ 454.4 million comprising of 118,663 Mt of black and 13,489 Mt of white pepper. When compared to export in the same period last year the export increased by 5% in quantity, but in value decreased by 36%. Unite value of black pepper exported was $3,266/Mt and $4,966/Mt for white pepper.
Currently pepper price prevailed at low price. In July, FOB price of Viet Namese black pepper was US$.2,625./M for 550g/l and for white pepper 630g/l was US$ 4,000. Considering low prevailing price in the second semester 2018, total export of pepper from Viet Nam in July – December 2018 is estimated not as high as exported in the same period last year.

Aug 07 - Ivory Coast cocoa crop developing well but more rain needed, say farmers

Top grower Ivory Coast's cocoa crop is developing well but rainfall was below average last week and needs to pick up to bolster the upcoming main crop harvest, farmers said on Monday. Small and medium-sized pods are plentiful on the trees and soil moisture is good, meaning that the main crop should get off to a strong start in October, the farmers said. Click here to read full stories.

Aug 06 - Coffee prices headed higher on Brazil dryness, currency moves  - poll

Arabica coffee futures will rise 22 percent by the end of 2018 on concerns over dry weather in top grower Brazil and expectations for volatile moves in the country's currency, a Reuters poll of 11 traders and analysts showed on Friday. The survey's median forecast for ICE spot arabica coffee futures prices at the end of 2018 was $1.30 per lb, up 21.8 percent from Thursday's close. Click here to read full stories.

Aug 06 - Speculators trim record bearish coffee bet, up sugar net short 

Speculators trimmed a record net short position in arabica coffee futures and options on ICE Futures U.S. in the week to July 31, and they boosted a bearish bet in sugar as prices plumbed 2015 lows, U.S. data showed on Friday. They raised a bullish stance in cotton for the first time in eight weeks and cut a net long position in cocoa as prices fell to a five-month trough, the Commodity Futures Trading Commission data showed. Click here to read full stories.

Aug 03 - Weekly Pepper Bulletin, Week 30 July-3 August 2018 (WPB)
The market was mixed during the week. Pepper price in Sri Lanka and India increased, while in Viet Nam it was relatively stable, except black pepper at local market which decreased marginally. In Lampung and Bangka price decreased following material from current harvest has arrived in the market. Peak harvest in Bangka is almost completed, while in Lampung is on up swing trend. This year, the harvest in Lampung will last longer till September with smaller quantity.
Total output of white pepper in Bangka and Belitung is estimated to be more or less same as last year with a marginal increase reported. In Lampung production of black pepper is anticipated to be significantly lower, due to many rains.  In East Lampung crop situation is relatively better than others, but at a whole still lower than last year. In addition to the above reason, low price prevailed during the year has also worsened the situation. Farmers are not interested to maintain garden, since earning from pepper is not enough to cover the high cost of maintenance. In North Lampung and Way Kanan situation is not encouraging.  Lot of pepper plants has been changed to cassava and Coffee. In West Lampung and Tanggamus, pepper vines are healthier with fewer fruit.

Aug 03 - Import of pepper by Germany (WPB)
During 2017, Germany imported 32,200 Mt of pepper, comprising of 28,700 Mt of whole pepper and 3,500 Mt of ground pepper, recording an increase of 9% from 29,400 Mt in 2016. Import of whole pepper increased, while for ground pepper decreased. The increase was due to a significant increase of import from Brazil, from 10,600 Mt in 2016 to 14,300 Mt in 2017.  Significant increase of production in Brazil has contributed 44% of pepper imported into Germany, increased by 8% from 36% in 2016.
During January - April 2018 Germany imported 8,200 Mt of pepper (7,100 Mt of whole and 1,100 Mt of ground pepper), recording a decrease of 12%, as against 9,300 Mt in the same period last year. The decrease was mainly due to supply from Brazil and Indonesia, decreased during the period. Since production in Brazil and Indonesia is not as good last year, total import of Germany is estimated to be lower this year.

Aug 03 - Cameroon cocoa arrivals down 10 pct on Anglophone region violence 

Cocoa bean arrivals at Cameroon's main port of Douala stood at 223,413 tonnes by May 31 from the start of the season in August, down 10 percent on last season owing to growing violence in its Anglophone region, the cocoa regulator said on Thursday. In the same period of the 2016/17 season, 249,573 tonnes were delivered, official data shows. Click here to read full stories.

Aug 03 - Brazil sugar output seen even smaller next year as crop shrinks 

Brazil's center-south is likely to produce an even smaller amount of sugar next year after a sharp drop reported in the current crop, as a harsh drought and reduced crop care will lead to a poor cane harvest, according to industry representatives. The world's largest sugar producing region is expected by most analysts to cut output in the current crop, which runs from April 2018 to March 2019, to around 28 million tonnes from 36 million tonnes in the previous crop as cane volumes fall and mills prioritize ethanol production at the expense of sugar due to better returns for the biofuel. Click here to read full stories.

Aug 03 - Brazil mills put premium on ethanol output, idle some sugar units 

Brazilian cane mills will continue to prioritize ethanol production over sugar outputwell into the next crop season as high oil prices boost demand for the biofuel, millers and consultants said. Even with sky-high ethanol stocks, due to a quick pace of harvesting of the current crop under dry conditions in Brazil's center-south, mills and plantation owners said in interviews this week that biofuel provided better returns than sugar. Click here to read full stories.

Aug 03 - World sugar prices to end 2018 sharply lower as global glut weighs - poll

World sugar prices are poised to recover some ground in the coming months but will still post sharp losses this year, as a larger than expected supply surplus weighs on the market, a Reuters survey of 10 analysts and traders showed on Thursday. Sugar prices are seen recovering slightly from the three-year lows hit on Wednesday, but the market is still on course to post an overall steep decline for the year. Click here to read full stories.

Aug 02 - Tanzania Robusta Prices Fall, Mild Arabica Not Offered at Auction (Dow Jones)
  Prices of Robusta coffee fell at Tanzania's most recent auction on July 26 and mild Arabica wasn't offered, the Tanzania Coffee Board said Wednesday.
  The auction was in an annual recess from April 19 until July 12 due to low volumes between seasons.
  The average price of a 50-kilogram bag of Robusta was $6.79 lower than at the previous auction on July 19, the board said.
  A total 8,737 bags of robusta were offered, of which 8,018 were sold. Of the 2,840 bags of unwashed arabica offered, 2,159 were sold.
  The next auction will take place on August 2.

Aug 02 - Kenyan Arabica Coffee Prices Rise 2% at Auction (Dow Jones)
  Kenyan arabica coffee prices rose 2% at the weekly auction, the Nairobi Coffee Exchange said Tuesday.
  The average price across all grades was $196.59 for a 50-kilogram bag compared with $192.94 last week.
  A total of 8,559 bags were offered at this week's auction compared with 6,570 bags last auction. Below are prices in dollars for a 50-kilogram bag of arabica.

Aug 02 - Cocoa prices to extend gains by end-2018 as world surplus fades - poll

Cocoa prices will extend gains to end the year up about 20 percent from end-2017 as global supply shifts to a small deficit, according to a Reuters survey of 11 traders and analysts released on Wednesday. New York cocoa prices on ICE Futures U.S. will end 2018 at $2,320 a tonne, according to the survey's median forecast. While that is an 18 percent jump from 2017's ending price of $1,892 a tonne, it's a 7 percent climb from Tuesday's close, suggesting much of the price recovery has already taken place. Click here to read full stories.

Aug 01 - Exposure to debt-stricken cocoa exporter rocks Ivory Coast banks 

Heavy debt exposure to Ivory Coast's largest domestic cocoa exporter, which has been ordered into liquidation, risks destabilising the West African nation's banking sector, bank officials said on Tuesday. A court on July 18 ordered the liquidation of the SAF-Cacao group of companies, which includes exporter CIPEXI and processor CHOCO-IVOIRE, over unpaid debts to the Ivorian marketing board, the Coffee and Cocoa Council. Click here to read full stories.

Aug 01 - Coffee harvest in Brazil's Cooxupé area reaches 65 pct 

The world's largest coffee coop Cooxupé said on Tuesday that 65.12 percent of the planted area of coffee has been harvested this year in the area where it operates in Brazil. That lags behind 76 percent harvested at the same time last year, but the pace has been good considering the much larger harvest expected this year. Click here to read full stories.

Jul 31 - Brazil says China to evaluate trade barriers on sugar, poultry 

China's President Xi Jinping has told his Brazilian counterpart Michel Temer that the country will evaluate trade barriers the Asian nation imposed on Brazilian raw sugar and poultry imports, Temer said on Monday. The Brazilian and the Chinese presidents met last week during the BRICS summit in South Africa. Temer said during a meeting at Sao Paulo's industry federation Fiesp that he asked China to reconsider the additional tariffs imposed on both Brazilian products as anti-dumping measures. Click here to read full stories.

 

Jul 31 - Ivory Coast cocoa healthy ahead of main crop, farmers say 

Rainfall was below average last week in most of top grower Ivory Coast's cocoa regions but farmers said that soil moisture was still sufficient to support a healthy harvest when the main crop opens in October. Farmers said that small pods were developing well and that they hoped for a mix of rain and sunny spells to boost the quality of the crop and help it avoid disease. Click here to read full stories.

Jul 30 - Speculators boost record net short in ICE arabica coffee

Speculators upped their record bearish stance in arabica coffee short arabica coffee futures and options on ICE Futures U.S. in the week to July 24, and raised a net short in sugar for a fourth straight week, U.S. government data showed on Friday. They again reduced their bullish stances in cotton and cocoa, the Commodity Futures Trading Commission data showed. Click here to read full stories.

Jul 30 - Ivory Coast cocoa purchases slide due to poor quality beans 

Local purchases of cocoa beans in Ivory Coast fell this month as their quality deteriorated, traders in the west and southwest of the world's top grower said. Ivory Coast's Coffee and Cocoa Council (CCC) sets a maximum bean count of 120 for 100 grams of cocoa for the mid-crop in order to ensure a minimum size of beans. Lower bean counts denote larger bean size. Click here to read full stories.

Jul 30 - Ivory Coast court orders liquidation of cocoa exporter SAF-Cacao 

A court in Ivory Coast has ordered the liquidation of SAF-Cacao, the top exporter in the world-leading cocoa grower, over debts owed to the Coffee and Cocoa Council (CCC) marketing board, the company's chief executive told Reuters. The court order was issued on July 18 and an administrator has already been named to manage the process, Ali Lakiss said by telephone from the company's headquarters in the second port city of San Pedro. Click here to read full stories.

Jul 27 - Weekly Pepper Bulletin, Week 23-27 July 2018 (WPB)
In general the market was lackluster. Pepper price at most origin, except in India, remained unchanged. In Kochi, price for Malabar black increased by 5%. Depletion of supply may have influenced the situation. In Viet Nam, local price of pepper decreased marginally after having slightly up last week. In Lampung and Bangka, the prices were reported stable.

Jul 27 - Crop Situation in Bangka Belitung (WPB)
White pepper price in Bangka and Belitung is around IDR 55,000 per Kg. The price is much lower when compared to price prevailed in 2015 at nearly IDR 200,000 per Kg.  Under current low price farmers were reported to have lost spirit to take care of their garden and maintain plants.  In Belitung many farmers leave the plants covered by grass, although the plants still produce berries. They are not interested to take care of the plants and pick the fruits. Similar situation is also seen in Bangka. If the current low price lasts longer, farmers will be suffering and production of pepper will decline further.

Jul 27 - Heavy rain damages cocoa flowers ahead of Ivory Coast main crop 

Heavy rain in Ivory Coast's cocoa-growing regions has damaged flowers and small pods on trees, pod counters and farmers said, raising concern for the development of the upcoming main crop. Ivory Coast is the world's top cocoa grower, and annual production reached a record 2 million tonnes last season. The country is now preparing for its 2018/19 season, which opens in October and runs through March. Click here to read full stories.

Jul 25 - Swollen shoot disease worsening in heart of Ivory Coast cocoa belt 

Swollen shoot disease is worsening in the heart of Ivory Coast's cocoa belt with some plantations seeing a significant drop in production, farmers and exporters said on Tuesday. The viral disease, which typically kills trees within a few years, first appeared a few years ago in southern and western Ivory Coast but is now causing serious damage to crops. Ivory Coast is the world's top cocoa grower with annual production reaching 2 million tonnes last season. Click here to read full stories.

Jul 25 - ICE steps in to cap surging premium for spot robusta coffee 

The Intercontinental Exchange has intervened in the London robusta coffee market to cap a sharp jump in the premium between the July and September contracts, partly driven by tight stocks after a trucker strike in Brazil delayed shipments for the futures market, several trade sources told Reuters. The premium for July robusta coffee widened in mid-July to as much as $100 a tonne over the September position. Click here to read full stories.

Jul 24 - Ivory Coast cocoa farmers unworried by low rainfall 

High soil moisture content has protected Ivory Coast's cocoa crops from below-average rainfall last week, farmers said on Monday, maintaining their hopes for an abundant main crop next season. Ivory Coast, the world's top cocoa producer, is wrapping up its April-to-September mid-crop and preparing for the 2018/2019 season, which starts in October this year and runs through to March. Click here to read full stories.

Jul 23 - Weekly Pepper Bulletin, Week 16-20 July 2018 (WPB)
Pepper price at most origins remained unchanged. A marginal increase took place in HCM City for black pepper traded at local market. In Sarawak however the price decreased marginally.
Trade source reported Vietnamese black was offered at $2,650 for 550 FAQ and $2,700 for 550 MC. White pepper HTST was offered at $4,290. All are in US$ per Mt for Aug shipment.
Lampung black ASTA HTST was offered at $3,100 and for Brazilian ASTA was $2,650 per MT.
In Bangka, pepper harvest is on-going. Due to erratic rains taken place during this crop season, fruit growth is not uniform and the harvest will take longer. Pepper harvested in the main crop season (July/August) is not as good as last year. Overall however, the output is estimated to be more or less same as last year, with a marginal increase is anticipated.

Jul 23 - Export of Pepper from MALAYSIA (WPB)
In 2017 Malaysia exported 12,190 Mt, a marginal decrease of 3% from 12,550 Mt of export in 2016. Supported by sufficient stocks carried forward from 2017, export of pepper in 2018 is estimated to increase. Indication of the increase is shown by increased export in the first four months this year. In April 2018 Malaysia exported 818 Mt of pepper, an increase of 12% when compared to export in April 2017. During January-April 2018 export of pepper from Malaysia reached 3,685 Mt, recording an increase of 3% when compared to export in the same period last year. Japan and China were the main markets of pepper for Malaysia, absorbing 33% and 28% respectively of Malaysian pepper in the four months. Singapore and Taiwan also imported significant quantity of Malaysian pepper.

Jul 20 - World sugar exporters ask India, Pakistan, EU to cut subsidies 

The world's top sugar exporters asked India, Pakistan and the European Union to eliminate subsidies, blaming such programs for weak prices and a supply glut, the Global Sugar Alliance for Sugar Trade Reform and Liberalization said on Thursday. "Fueled by a glut of government-supported sugar from Pakistan, and the threat of subsidized Indian sugar exports, the world sugar price (ICE #11) has dropped to a level below the cost of production of even the most efficient producers in the world," Global Sugar Alliance Chairman Greg Beashel of Australia said in a release. Click here to read full stories.

Jul 20 - Suedzucker CEO says believes sugar market will normalise 

The CEO of Suedzucker, Europe's largest sugar refiner, said on Thursday trading conditions remain tough but that he sees potential for a recovery in depressed global sugar prices. "In the sugar segment we are currently operating in a difficult environment with worldwide production overcapacity and extremely low prices with which hardly any sugar producer can operate profitably,” CEO Wolfgang Heer told the annual meeting of Suedzucker shareholders. Click here to read full stories.

Jul 20 - Dry weather speeds up Brazil's coffee harvest - report 

Brazilian coffee farmers were able to speed up harvesting in recent days, helped by dry weather in most coffee producing regions, consultancy Safras & Mercado said on Thursday. Farmers had harvested 61 percent of the country's fields by July 17, according to a weekly report from Safras. That is still less than the 65 percent harvest during the same period in 2017 and the 64 percent average for the past five years. But the difference had been larger earlier in the current crop. Click here to read full stories.

Jul 20 - Ivory Coast Cocoa Output Seen Higher After Last Year's Slump-Market Talk (Dow Jones)
Ivory Coast's cocoa production is expected to post a marginal rise in the upcoming 2018-19 season boosted by favorable weather but output from the world's top grower will likely remain subdued from 2022 as government clamps down on cocoa plantations in protected forests to curb deforestation, says BMI Research. Output may hit 1.9 million tons from 18.5 million tons boosted by maturing orchards planted during the 2014-2016 price rally. Ivory Coast produced a record 2.02 million tons of cocoa during 2016-17 aided by aggressive farmland expansions into protected forests, which tumbled global prices. BMI expects production to remain below International Cocoa Organization's estimate of 2 million tons this season and future production will continue to be constrained by anti-deforestation measures.

Jul 20 - Asian Cocoa Grindings Had Best 2Q in 3 Years (Dow Jones)
Asian cocoa grindings were at their highest for a 2Q since 2015, showing regional demand remains strong. The Cocoa Association of Asia said grindings jumped 15% from a year earlier to 185,394 metric tons, which should provide support for cocoa prices as it follows strong grindings data out of Europe earlier in the week. The prior-year level was 10% above 2Q16.

Jul 19 - India raises 2018/19 sugar cane floor price by 7.84 pct - minister 

Indian cabinet has approved raising the price that sugar mills must pay for cane in the next season beginning Oct. 1, to 275 rupees ($4.01) per 100 kg, up from 255 rupees a year earlier, a federal minister said on Wednesday. The federal government raises the floor price for cane every year, but northern Uttar Pradesh state, the country's top cane producer, invariably raises the floor price further to woo million of cane growers, an influential voting bloc. Click here to read full stories.

Jul 18 - India's sugar stockpile to double on record output - trade body 

Sugar stocks in India are likely to more than double by the end of the current marketing year as the world's biggest producer of the sweetener struggles to export a surplus, a leading trade body said on Tuesday. The rise will weigh on local prices, potentially pushing the country to try to ship more sugar overseas, which ccould drag on global prices that have already fallen 16 percent this year. Click here to read full stories.

Jul 17 - China to hit more sugar imports with extra tariffs from Aug 1 

China will levy extra tariffs on out-of-quota sugar imports from all origins starting from Aug. 1, the Commerce Ministry said on Monday, just over a year after introducing hefty penalties on top growers including Brazil and Thailand. In May last year, the government hit major exporting nations with penalties on sugar shipments after years of lobbying by domestic mills. It still exempted 190 smaller producing countries and regions, mostly in Southeast Asia and South America, like in the Philippines and El Salvador. Click here to read full stories.

Jul 17 - Ivory Coast weather boosts early stages of cocoa main crop

Abundant rainfall in most of Ivory Coast's cocoa regions last week is helping flowers develop into small pods and bodes well for the October-to-March main crop, farmers said on Monday. Ivory Coast, the world's top cocoa producer, is wrapping up its April-to-September mid-crop and preparing for the 2018/2019 season, which will start in October this year. Click here to read full stories.

Jul 16 - Spot London cocoa commands large premium as supplies dwindle 

Spot London cocoa prices have surged to a dramatic premium, as a scarcity of quality beans in Europe has made the futures market an increasingly attractive source of cocoa, trade sources say. The front-month July contract, which expires on July 16, recently moved to a premium to the September position which surged above 100 pounds last week. By Friday, the premium had narrowed but still peaked at 49 pounds. Click here to read full stories.

Jul 16 - Speculators lift bearish arabica coffee stance to record - CFTC 

Speculators increased their bearish stance in arabica coffee contracts on ICE Futures U.S. to the biggest on record in the week to July 10, U.S. Commodity Futures Trading Commission (CFTC) data showed on Friday. They also added to their bearish position in raw sugar futures and contracts, taking it to the biggest in six weeks, while they reduced their bullish stance in cotton and slightly raised it in cocoa, the data showed. Click here to read full stories.

Jul 16 - Brazil 2018/19 center-south sugarcane crush to fall, consultancy says 

Sugarcane crushing in the center-south of Brazil is expected to fall to its lowest in four harvests, consultancy INTL FCStone said on Friday, citing unusually dry weather and aging cane fields. Crushing in the world's largest cane belt will drop nearly 4 percent to 573.9 million tonnes in the season starting in April 2018 and ending in March 2019, the consultancy said. Click here to read full stories.

Jul 13 - Weekly Pepper Bulletin, Week 9-13 July 2018 (WPB)

In Indonesia, pepper harvest is on going; but market is not brisk. In Lampung, local price of black pepper price farm quality was reported unchanged at the level IDR 35,000 per Kg, while in Bangka a marginal decrease was reported. In Sarawak the price was reported stable. In Viet Nam, the market of pepper is reported to have been weakening during the week and price decreased further to VND 52,500 per Kg locally for black and VND 87,500 per Kg for white pepper from VND 55,000 and VND 92,500 per Kg respectively for black and white pepper during last week. FOB price of Viet Namese black 550G/L was US$ 2,600 per Mt, decreased from US$ 2,750 and US$ 4,050 per MT last week.

Jul 13 - Import of Pepper by UNITED KINGDOM (WPB)

In the last decade, import of pepper into the United Kingdom increase year by year, from 7,200 Mt in 2007 to 14,300 Mt in 2016. In 2017 however, the import decreased to 12,900 Mt, consisting of 4,550 Mt of whole pepper and 8,750 Mt. of ground pepper. Import of whole pepper decreased by 2,900 Mt, while for ground pepper increased by 1,500 Mt. Viet Nam, the largest supplier supplied 33% of pepper into the United Kingdom. United Kingdom also imports significant quantity of pepper through Netherlands. In 2018 the import is estimated to remain high, since output of this year harvest in Viet Nam is reported to remain good. During January - April 2018, The United Kingdom has imported 4,040 Mt of pepper consisting of 1,370 Mt of whole and 2,670 Mt of ground pepper. As against import in the same period last year, there was a decrease of 3%

Jul 13 - U.S. 2018/19 sugar production pegged at 4-year low - USDA 

U.S. sugar production will fall to a four-year low in the 2018/19 crop year, but higher beginning stocks and imports will more than offset the drop, the U.S. Agriculture Department (USDA) said in its monthly supply/demand report on Thursday. U.S. sugar production will fall to 8.78 million short tons in the crop year that will start in October, down from a June estimate for 8.96 million short tons but the loweslevel since 2014/15, USDA data show. Click here to read full stories.

Jul 13 - Brazil 2017/18 green coffee exports fall 8.5 pct -Cecafé 

Brazilian exports of green coffee fell by 8.5 percent in the season ended last June, confirming expectations of exporting group Cecafé, which said on Thursday sales were affected by an output drop in 2017, an off year in coffee's biannual cycle. Brazilian green coffee exports fell to 26.83 million 60-kilo bags in the period, Cecafé officials said in a press conference to present results. Arabica coffee exports, which make up the bulk of Brazil's foreign coffee sales, slumped by 10 percent to 26.16 million bags, the entity said. Click here to read full stories.

Jul 12 - EU urged to draft law on child labour, deforestation in coffee and cocoa 

The European Union must set mandatory rules to tackle child labour and deforestation in the cocoa and coffee sectors, after years of voluntary action has failed to spur widespread change, stakeholders and policymakers said on Wednesday. As a top importer of cocoa and coffee, the bloc must take firmer action to tackle child labour and forest degradation in these supply chains, speakers told a European Parliament hearing on the issue. Click here to read full stories.

Jul 12 - Suedzucker Q1 earnings almost halve after sugar price slump 

Suedzucker, Europe's largest sugar refiner, on Thursday said a slump in sugar prices caused a 49.3 percent drop in operating profits in the first quarter of its new financial year. Suedzucker’s operating profit for March to end-May fell to 78 million euros against 153 million euros last year. Sales fell to 1.741 billion euros against 1.783 billion euros last year. Click here to read full stories.

Jul 11 - Informa's AI sees global sugar surplus in 2018/19 

Informa's Agribusiness Intelligence said on Tuesday it sees a global sugar surplus of 7.2 million tonnes in 2018/19, down marginally from a surplus of 7.3 million in 2017/18. "The unexpectedly strong increase in Thailand's and India's sugar production this season has raised the global surplus in 2017/18 significantly above initial expectations," the company which includes sugar analysts F.O. Licht said. Click here to read full stories.

Jul 10 -  Speculators boost bearish ICE arabica bet to fresh record - CFTC

Speculators increased a net short position in arabica coffee futures and options on ICE Futures U.S. to a record in the week to July 3, as they also added to a bearish stance in sugar, U.S. Commodity Futures Trading Commission data showed on Monday. The dealers reduced net long positions in cotton and cocoa, the data showed. The CFTC report, which typically is published on Fridays, was delayed due to the July Fourth U.S. Independence Day holiday. Click here to read full stories.

Jul 10 - Ivory Coast cocoa farmers buoyed by strong flowering 

Abundant flowers on Ivory Coast's cocoa trees last week have raised hopes for a strong October-to-March main crop, farmers said on Monday, despite below-average rainfall. Ivory Coast, the world's top cocoa producer, is wrapping up its April-to-September mid-crop and preparing for the 2018/2019 season, which opens in October this year. Click here to read full stories.

Jul 09 - Iraq's Etihad Food Industries wins contract to provide 200,000 T of sugar

Iraq's Etihad Food Industries signed a contract with the country's trade ministry to provide 200,000 tonnes of sugar and 90,000 tonnes of vegetable oil, the ministry said on Sunday. The ministry said the contract would help the central government achieve its goal of using local companies to provide such materials. Click here to read full stories.

Jul 06 - Coffee Traders Buy the Dip (Dow Jones)
Arabica coffee futures surge as the Brazilian real takes a turn higher, discouraging sales in the world's largest grower. The September contract ended up 4.5% at $1.141 a pound, bouncing back from its lowest level since 2013. Traders have been anticipating heavy supply out of Brazil this season and the strong US dollar encourages sales from producers who can recoup more in their local currency. Cazarini Trading Company in Brazil says that despite the market talk of huge crops, not much coffee has been moving recently. "We stay here like statues," he says.

Jul 06 - Weekly Pepper Bulletin, Week 2-6 July 2018 (WPB)
The market continued to slow moving and quiet. Although harvesting season in Indonesia is on going now, but market is reported to be very quiet. Under current low prevailing price level, farmers are not enthusiastic to pick and sell. In Lampung and Bangka prices remained same as last week. In Dollar terms however, local price decreased marginally due to weakening of local currency against US Dollar. In Sarawak the price was also reported stable, both for black and white pepper. In India, Viet Nam and Sri Lanka pepper price decreased, with limited activity.

Jul 06 - Import of Pepper by FRANCE (WPB)
In 2017 France imported 10,800 Mt of pepper comprising of 8,150 Mt of whole pepper and 2,650 Mt of ground pepper, recording a decrease of 6% when compared to 11,500 Mt of pepper imported in the previous year (2016). Viet Nam and Brazil were the main source of pepper for France in 2017, supplying together 47% (Viet Nam 24% and Brazil 23%). Other important supplier for France was Indonesia (17%). Germany also supplied significant quantity of pepper into France (13%) mainly ground pepper.
In 2018 import of France is estimated to be more or less same as last year with a marginal increase as indicated by total import in the first four month of 2018. During January-April 2018, France has imported 3,780 Mt (2,810 Mt of whole pepper and 970 Mt of ground pepper). As against 3,520 Mt imported in the same period last year, an increase of 7% was recorded. In the first four month, Brazil emerged as the main supplier for France, contributing 45% of total pepper imported by France. Viet Nam supplied only 13% same as Germany.

Jul 04 - Brazil's sugar exports tumble in June - trade ministry 

Exports of Brazilian meats and raw sugar in June were down sharply from a year earlier, while shipments of soybeans and green coffee rose, Trade Ministry data showed on Tuesday. Exports of sugar fell almost 1 million tonnes from June 2017 as mills held back sales with prices hovering near multi-year lows. Cane processors are also ramping up ethanol production to take advantage of a favorable price gap compared to gasoline in the domestic market. Click here to read full stories.

Jul 03 - Honduras June coffee exports fall nearly 5 pct - 

Honduran coffee exports fell by 4.8 percent in June compared to the same month last season, an industry group said on Monday, and an industry executive attributed it to problems at local shipping companies. Shipments from Central America's largest coffee exporter totaled 875,930 60-kilo bags in June compared to 919,652 in the same month last year, according to a preliminary report of the Honduran Coffee Institute (IHCAFE). Click here to read full stories.

Jul 03 - Alvean scoops up small ICE July raw sugar delivery 

Alvean, the joint venture of global commodities trader Cargill Inc and Brazilian sugar cooperative Copersucar, is the sole buyer of the smallest physical delivery against an ICE raw sugar futures contract in four years. The sugar to be delivered against the July contract on ICE Futures U.S. totaled 6,519 lots, or about 331,000 tonnes, and was due from Brazil, Mexico and Costa Rica, ICE Futures U.S. data showed on Monday. Click here to read full stories.

Jul 03 - Ivory Coast's abundant rains help cocoa main crop

More abundant rainfall and sunny spells last week in Ivory Coast's cocoa growing regions bode well for the October-to-March main crop, farmers said on Monday. Focus in the world's top cocoa grower has shifted from the April-to-September mid-crop to the main crop in recent days, and farmers said flowers had started to appear on the trees. Click here to read full stories.

Jul 02 - Weekly Pepper Bulletin, Week 25-29 June 2018 (WPB)
The market showed a slow moving with a marginal decreasing trend. Except in Sri Lanka, the price of black pepper decreased up to 3% in Viet Nam. Even for white pepper decrease up to 6%. Producers at most origins are suffered with this situation of low prevailing price level. There is a loss of interest to maintain garden. Consequently output of this year crop season is not as good as expected.
Although currently is harvesting season in Indonesia, farmers are not very enthusiastic to pick. In West Kalimantan, where in the area is traditionally produces black pepper, many gardens with pepper plants whose fruits are ripened and yellowish still have not been picked. Pepper price in Lampung and Bangka is reported to remain unchanged, but in dollar terms the price decreased marginally due to weakening of local currency against US Dollar.

Jul 02 - Export of pepper from INDONESIA (WPB)
During 2017, Indonesia exported 42,700 mt of pepper valued at USD 236 million, decreased by 20% in volume and 45% in value. In addition to the decrease in production, particularly black pepper in Lampung, the low price has also an effect on the decline in export. This year production of black pepper is estimated to remain less, but for white pepper is expected to be more promising than black, mainly from new area of expansion in Kalimanta and Sulawesi. Observing the above situation coupled with current prevailing low price, export in 2018 is estimated to remain less as indicated by the export performance in the first four months this year.
During January - April 2018 Indonesia has exported 12,000 Mt of pepper valued at US$ 45 million, as agains export in the same priod last year, there was a deccrease of 14% in quantity and 50% in value respectively. 

Jul 02 - Speculators slash bearish ICE raw sugar positions - CFTC 

Speculators slashed their net short stance in raw sugar to the smallest since mid-January and slightly increased their net long position in cocoa contracts on ICE Futures U.S. in the week to June 26, U.S. Commodity Futures Trading Commission data showed on Friday. In sugar, speculators reduced their net short position by 17,648 lots to 30,989 lots, the smallest since mid-January. Meanwhile, they cut their net long position in cotton by 5,975 lots to 87,069 lots. Click here to read full stories.

Jul 02 - Dreyfus sugar unit in Brazil replaces CEO - filing 

Biosev SA, the Brazilian sugar and ethanol producer controlled by commodities trader Louis Dreyfus, said on Friday that Juan José Blanchard will replace Rui Chammas as its chief executive, according to a securities filing. Blanchard has worked for Dreyfus since 1997, in several positions, including global head of oilseeds and director for fertilizers. Click here to read full stories.

Jul 02 - Green Pool boosts forecast for global sugar surplus 

Commodity analysts Green Pool lifted their forecast on Friday for the global sugar surplus in 2017/18 and 2018/19, as expectations for output in India continue to edge higher. They projected the world market would see a sugar surplus of 19.56 million tonnes (raw value) in the current 2017/18 season, up from a prior forecast of 18.37 million tonnes.  Click here to read full stories.

WPB Week #29/18, 16 - 20 July 2018 

Pepper price at most origins remained unchanged. A marginal increase took place in HCM City for black pepper traded at local market. In Sarawak however the price decreased marginally.

 

Trade source reported Vietnamese black was offered at $2,650 for 550 FAQ and $2,700 for 550 MC. White pepper HTST was offered at $4,290. All are in US$ per Mt for Aug shipment.

 

Lampung black ASTA HTST was offered at $3,100 and for Brazilian ASTA was $2,650 per MT.

 

In Bangka, pepper harvest is on-going. Due to erratic rains taken place during this crop season, fruit growth is not uniform and the harvest will take longer. Pepper harvested in the main crop season (July/August) is not as good as last year. Overall however, the output is estimated to be more or less same as last year, with a marginal increase is anticipated.

 

EXPORT OF PEPPER FROM MALAYSIA: 

In 2017 Malaysia exported 12,190 Mt, a marginal decrease of 3% from 12,550 Mt of export in 2016. Supported by sufficient stocks carried forward from 2017, export of pepper in 2018 is estimated to increase. Indication of the increase is shown by increased export in the first four months this year. In April 2018 Malaysia exported 818 Mt of pepper, an increase of 12% when compared to export in April 2017. During January-April 2018 export of pepper from Malaysia reached 3,685 Mt, recording an increase of 3% when compared to export in the same period last year. Japan and China were the main markets of pepper for Malaysia, absorbing 33% and 28% respectively of Malaysian pepper in the four months. Singapore and Taiwan also imported significant quantity of Malaysian pepper.