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What causes the instability of sugar prices

The increase in world sugar prices in the first half of 2010 was caused by a reduction in production due to worsening weather and problems with shipment (due to heavy rains) in the leading importing countries: Brazil, India. But already an unprecedented harvest of sugar crops has been announced in these two countries. In the second half of 2010 and in 2011.

(according to experts) sugar prices (despite some fluctuations) will generally decline.
The instability of prices on the world market is caused on the one hand by a large harvest in Brazil and India and this threatens to collapse prices on the new York stock exchange to 13-15 cents per pound of sugar, and on the other hand, the large capacity of the Asian market (Indonesia) will be able to stop the decline in prices. Continue reading

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