Brazil: Sugar Market 2022

Sugar Market Size in Brazil

The Brazilian sugar market declined remarkably to $X in 2021, waning by -38.4% against the previous year. Over the period under review, consumption saw a abrupt contraction. Over the period under review, the market reached the peak level at $X in 2012; however, from 2013 to 2021, consumption stood at a somewhat lower figure.

Sugar Production in Brazil

In value terms, sugar production amounted to $X in 2021 estimated in export price. In general, production faced a abrupt decrease. The pace of growth appeared the most rapid in 2016 with an increase of 26% against the previous year. Sugar production peaked at $X in 2012; however, from 2013 to 2021, production failed to regain momentum.

In 2021, the average yield of sugar in Brazil stood at less than X kg per ha, flattening at the year before. Over the period under review, the yield continues to indicate a relatively flat trend pattern. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2021, the harvested area of sugar in Brazil stood at less than X ha, remaining stable against the previous year's figure. In general, the harvested area recorded a relatively flat trend pattern.

Sugar Exports

Exports from Brazil

Sugar exports from Brazil dropped to X tons in 2021, with a decrease of -9.5% compared with 2020. Over the period under review, exports, however, recorded a relatively flat trend pattern. The most prominent rate of growth was recorded in 2020 when exports increased by 62%. As a result, the exports reached the peak of X tons, and then shrank in the following year.

In value terms, sugar exports rose to $X in 2021. In general, exports recorded a deep slump. The pace of growth was the most pronounced in 2020 when exports increased by 62% against the previous year. The exports peaked at $X in 2012; however, from 2013 to 2021, the exports remained at a lower figure.

Exports by Country

China (X tons), Algeria (X tons) and Bangladesh (X tons) were the main destinations of sugar exports from Brazil, together comprising 34% of total exports. Nigeria, Malaysia, Saint Lucia, Morocco, Canada, Indonesia, Egypt, Iran, Iraq and Russia lagged somewhat behind, together comprising a further 39%.

From 2012 to 2021, the biggest increases were in Iraq (with a CAGR of +29.0%), while shipments for the other leaders experienced more modest paces of growth.

In value terms, the largest markets for sugar exported from Brazil were China ($X), Algeria ($X) and Nigeria ($X), together comprising 31% of total exports. These countries were followed by Bangladesh, Malaysia, Canada, Saint Lucia, Morocco, Indonesia, Egypt, Iran, Iraq and Russia, which together accounted for a further 39%.

In terms of the main countries of destination, Iraq, with a CAGR of +21.2%, recorded the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced mixed trend patterns.

Export Prices by Country

In 2021, the average sugar export price amounted to $X per ton, growing by 15% against the previous year. Over the period under review, the export price, however, recorded a deep setback. The export price peaked at $X per ton in 2012; however, from 2013 to 2021, the export prices remained at a lower figure.

Average prices varied somewhat for the major overseas markets. In 2021, the highest price was recorded for prices to Russia ($X per ton) and Canada ($X per ton), while the average price for exports to Bangladesh ($X per ton) and China ($X per ton) were amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Egypt (-4.5%), while the prices for the other major destinations experienced a decline.

Sugar Imports

Imports into Brazil

In 2021, supplies from abroad of sugar increased by 38% to X tons for the first time since 2018, thus ending a two-year declining trend. Over the period under review, imports posted a strong expansion. The pace of growth appeared the most rapid in 2015 when imports increased by 181%. As a result, imports attained the peak of X tons. From 2016 to 2021, the growth of imports failed to regain momentum.

In value terms, sugar imports skyrocketed to $X in 2021. In general, imports showed a strong expansion. The most prominent rate of growth was recorded in 2015 when imports increased by 75%. Over the period under review, imports reached the maximum in 2021 and are expected to retain growth in the immediate term.

Imports by Country

In 2021, the United States (X tons) constituted the largest supplier of sugar to Brazil, accounting for a 78% share of total imports. Moreover, sugar imports from the United States exceeded the figures recorded by the second-largest supplier, Guatemala (X tons), ninefold. Italy (X tons) ranked third in terms of total imports with a 4.9% share.

From 2012 to 2021, the average annual rate of growth in terms of volume from the United States totaled +34.5%. The remaining supplying countries recorded the following average annual rates of imports growth: Guatemala (-11.4% per year) and Italy (+41.0% per year).

In value terms, the United States ($X) constituted the largest supplier of sugar to Brazil, comprising 78% of total imports. The second position in the ranking was held by Germany ($X), with an 8.6% share of total imports. It was followed by Italy, with a 4.9% share.

From 2012 to 2021, the average annual growth rate of value from the United States totaled +24.7%. The remaining supplying countries recorded the following average annual rates of imports growth: Germany (+24.9% per year) and Italy (+36.9% per year).

Import Prices by Country

The average sugar import price stood at $X per ton in 2021, picking up by 5.4% against the previous year. In general, the import price, however, saw a pronounced setback. The most prominent rate of growth was recorded in 2016 an increase of 34%. Over the period under review, average import prices hit record highs at $X per ton in 2012; however, from 2013 to 2021, import prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2021, the country with the highest price was Germany ($X per ton), while the price for the United Arab Emirates ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Guatemala (+7.3%), while the prices for the other major suppliers experienced mixed trend patterns.

Source: IndexBox Platform