Sugar price peaks again two months before release of fresh sugar

According to the sugar market, sugar prices have risen once again, just two months before the release of new sugar into the market. On 28 September, in the Yangon sugar market, the wholesale price for a viss of sugar was K3,750, and there were fewer buyers and more sellers. However, the wholesale price increased to K3,800 per viss on 29 September, as reported by Ko Kyaw Min, a trader dealing with goods in the delta region, to The Global New Light of Myanmar (GNLM).
A sugar seller from a brokerage house on Yaytama Road told the GNLM that the auction price of sugar, sold in the factory before the sugar mill’s operation began, had increased, leading to a rise in sugar prices in the market. While the exact auction price of sugar remains undisclosed, there has been a slight uptick in sugar demand in the Yangon market, according to Ko Thein Zaw, a sugar dealer, who spoke to GNLM.
Sugar factory companies no longer have sugar in stock, and currently, only those who have stored sugar are selling it at open prices. Due to market conditions, it’s believed that sugar stocks are low. However, with the new sugar set to be released in just a few months, fewer buyers are storing it, and they are purchasing based on regional orders.
A seller of sugar and brown slab sugar from Aungthapyae Road mentioned that the price of a viss of sugar increased by approximately K3,400 after news surfaced that the sugar auction price had reached K3,330 per viss at the end of July 2023.
Domestic sugar production stands at around 500,000 tonnes per year. This year, two new sugar mills, each with capacities of 12,000 and 5,000 tonnes, will commence operations in Shan State (North) and Sagaing Region. Domestic consumption and business usage of sugar amount to approximately 450,000 tonnes per year, leaving a surplus of around 50,000 tonnes per year, which is exported abroad. In 2022, 11.1 million tonnes of sugar were exported, but as of September 2023, only 6.1 million tonnes of sugar have been shipped. — TWA/CT

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