About 21 percent of all the sugar waiting to be loaded at ports in Brazil, the world’s largest producer of the commodity, will be shipped to China and Egypt, according to data from Williams Servicos Maritimos Ltda.
Vessels heading to China will load 127,500 metric tons this month, while 160,950 tons will head to Egypt, data from the shipping agency showed. As many as 44 vessels were waiting at the ports of Recife, Suape, Maceio, Santos and Paranagua yesterday to load 1.35 million tons of the sweetener. That compares with 46 ships and 1.3 million tons on Sept. 28, the data showed.
Egypt’s state-owned Sugar and Integrated Industries Co.’s imports of raw sugar will exceed 400,000 tons this year. Since the year began the company has agreed to buy 365,000 tons, and 150,000 tons have been delivered, Hussein Ahmed, a purchasing manager, said in an interview in Cairo on Sept. 22.
China may need to import as much as 3 million tons of the sweetener in 2011-12, as production will lag behind demand by 2.5 million tons, according to Sucden, the trading arm of Paris- based company Sucres et Denrees SA.
China has to “cover their own domestic production shortfall and rebuild government reserve stocks,” Luis Rangel, vice president of commodity derivatives at ICAP Futures LLC in Jersey City, New Jersey wrote in a report dated Sept. 29.
ED&F Man Holdings Ltd, Bunge Ltd. and Cargill Inc. will be sending the sweetener to Egypt, while Noble Group Ltd., Bunge and Louis Dreyfus will be shipping to China, the data show.
White, or refined, sugar for December delivery rose $5.60, or 0.9 percent, to $654 a ton by 10:24 a.m. on NYSE Liffe in London. Raw sugar for March delivery climbed 0.19 cent, or 0.8 percent, to 24.99 cents a pound on ICE Futures U.S. in New York.