Dominican Republic: Sugar Market 2022

Sugar Market Size in the Dominican Republic

The Dominican sugar market shrank modestly to $X in 2021, approximately equating the previous year. Overall, consumption continues to indicate a remarkable increase. Sugar consumption peaked at $X in 2018; however, from 2019 to 2021, consumption failed to regain momentum.

Sugar Production in the Dominican Republic

In value terms, sugar production declined to $X in 2021 estimated in export price. Over the period under review, the total production indicated a tangible expansion from 2012 to 2021: its value increased at an average annual rate of +2.2% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, production increased by +10.3% against 2019 indices. The most prominent rate of growth was recorded in 2016 when the production volume increased by 24% against the previous year. Sugar production peaked at $X in 2018; however, from 2019 to 2021, production failed to regain momentum.

The average yield of sugar in the Dominican Republic stood at less than X kg per ha in 2021, approximately mirroring 2020. In general, the yield saw 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 sugar harvested area in the Dominican Republic totaled less than X ha, therefore, remained relatively stable against the previous year's figure. Over the period under review, the harvested area continues to indicate a relatively flat trend pattern.

Sugar Exports

Exports from the Dominican Republic

In 2021, shipments abroad of sugar decreased by -3.9% to X tons, falling for the second consecutive year after two years of growth. In general, exports saw a deep reduction. The most prominent rate of growth was recorded in 2019 when exports increased by 44% against the previous year. The exports peaked at X tons in 2012; however, from 2013 to 2021, the exports stood at a somewhat lower figure.

In value terms, sugar exports expanded markedly to $X in 2021. Over the period under review, exports saw a relatively flat trend pattern. The pace of growth was the most pronounced in 2019 when exports increased by 32% against the previous year. As a result, the exports reached the peak of $X. From 2020 to 2021, the growth of the exports failed to regain momentum.

Exports by Country

The United States (X tons) was the main destination for sugar exports from the Dominican Republic, with a 99% share of total exports. It was followed by Portugal (X kg), with less than 0.1% share of total exports.

From 2012 to 2021, the average annual rate of growth in terms of volume to the United States amounted to -5.6%.

In value terms, the United States ($X) remains the key foreign market for sugar exports from the Dominican Republic, comprising 99% of total exports. The second position in the ranking was taken by Portugal ($X), with less than 0.1% share of total exports.

From 2012 to 2021, the average annual rate of growth in terms of value to the United States was relatively modest.

Export Prices by Country

The average sugar export price stood at $X per ton in 2021, picking up by 11% against the previous year. In general, export price indicated a prominent expansion from 2012 to 2021: its price increased at an average annual rate of +5.6% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, sugar export price increased by +33.4% against 2019 indices. The most prominent rate of growth was recorded in 2020 an increase of 20% against the previous year. The export price peaked in 2021 and is likely to see steady growth in the immediate term.

Average prices varied somewhat for the major overseas markets. In 2021, the country with the highest price was the United States ($X per ton), while the average price for exports to Portugal stood at $X per ton.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to the United States (+6.0%), while the prices for the other major destinations experienced mixed trend patterns.

Sugar Imports

Imports into the Dominican Republic

Sugar imports into the Dominican Republic expanded significantly to X tons in 2021, picking up by 15% against the year before. Overall, imports posted a tangible expansion. The most prominent rate of growth was recorded in 2017 when imports increased by 70%. Over the period under review, imports attained the peak figure in 2021 and are likely to see gradual growth in years to come.

In value terms, sugar imports surged to $X in 2021. Over the period under review, imports, however, showed a abrupt contraction. The growth pace was the most rapid in 2015 with an increase of 27%. Over the period under review, imports hit record highs at $X in 2012; however, from 2013 to 2021, imports remained at a lower figure.

Imports by Country

In 2021, Brazil (X tons) constituted the largest supplier of sugar to the Dominican Republic, with a 58% share of total imports. Moreover, sugar imports from Brazil exceeded the figures recorded by the second-largest supplier, Guatemala (X tons), threefold. The third position in this ranking was taken by Colombia (X tons), with a 16% share.

From 2012 to 2021, the average annual rate of growth in terms of volume from Brazil stood at +8.5%. The remaining supplying countries recorded the following average annual rates of imports growth: Guatemala (+25.7% per year) and Colombia (+1.7% per year).

In value terms, the largest sugar suppliers to the Dominican Republic were Brazil ($X), Colombia ($X) and Guatemala ($X), together comprising 90% of total imports.

Guatemala, with a CAGR of +16.9%, recorded the highest growth rate of the value of imports, in terms of the main suppliers over the period under review, while purchases for the other leaders experienced a decline.

Import Prices by Country

The average sugar import price stood at $X per ton in 2021, increasing by 3.4% against the previous year. Over the period under review, the import price, however, continues to indicate a abrupt curtailment. The growth pace was the most rapid in 2016 an increase of 12%. 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 Costa Rica ($X per ton), while the price for Brazil ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Costa Rica (-3.0%), while the prices for the other major suppliers experienced a decline.

Source: IndexBox Platform