Considered the largest sugar refinery in Europe, the German Suedzucker, is optimistic about the market for sugar and biofuels, with expected expansion of its profits in the coming years.
With diversified production, the production of biofuels generated for Suedzucker the biggest gains in 2015. According to company analysts, this market continues strengthened, unlike the sugar market, which suffered from the devaluations and high global inventories.
The price increase of biofuels in Europe was an important factor for the company’s earnings. But the fall in oil price worries the major players in this segment, since the manufacture of its competitor – fossil fuel – will get cheaper.
Suedzucker expects to close the production cycle – which ends in February – with income up EUR 240 million. The previous crop generated EUR 181 million for the company.