According to the monitoring of the commodity market analysis system of SunSirs, the average price of domestic first grade White granulated sugar at the beginning of the week was 7,130 RMB/ton, and the average price of domestic first grade White granulated sugar at the end of the week was 7,136 RMB/ton, with a price increase of 0.08%, and a price increase of 19.77% compared to the same period last year.

During the 2022/2023 squeezing season in China, a comprehensive harvest was achieved, with a nationwide production of 8.96 million tons of sugar, a year-on-year decrease of 390,000 tons. Due to the recent significant increase in prices, downstream consumer manufacturers have adopted "use as you go" and overall consumption has shifted back. In addition, the price difference outside the quota is relatively large, with an average import profit of around -1,200 yuan, which has greatly suppressed the import outside the quota. Some processing sugar factories have a low willingness to buy ships at the current raw sugar price, There is still significant import pressure in the later stage.

The latest export and port waiting vessel numbers in Brazil show that the recent congestion in Brazilian export ports has eased, and the export capacity of sugar in Brazilian ports has rebounded significantly, easing the tight supply situation in the international sugar market. As of the first half of May, 78.968 million tons of sugarcane were squeezed in the central and southern regions of Brazil, an increase of 24.18% year-on-year, and a cumulative sugar production of 4.063 million tons, an increase of 48.03% year-on-year.

The inverted price difference outside the domestic market quota is still severe, and processing sugar factories are passive in buying ships for sugar imports. It is expected that China sugar prices may fluctuate mainly in the short term.

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