ECOWAS: Sugar Market 2022

Sugar Market Size in ECOWAS

In 2021, after two years of growth, there was decline in the ECOWAS sugar market, when its value decreased by -0.5% to $X. The total consumption indicated a strong expansion from 2012 to 2021: its value increased at an average annual rate of +5.8% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, consumption increased by +19.3% against 2018 indices. Over the period under review, the market attained the peak level at $X in 2020, and then dropped modestly in the following year.

Sugar Production in ECOWAS

In value terms, sugar production reduced to $X in 2021 estimated in export price. The total production indicated resilient growth from 2012 to 2021: its value increased at an average annual rate of +8.1% 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 +101.9% against 2012 indices. The pace of growth was the most pronounced in 2017 when the production volume increased by 30%. The level of production peaked at $X in 2020, and then fell modestly in the following year.

The countries with the highest volumes of production in 2021 were Cote d'Ivoire (X tons), Senegal (X tons) and Mali (X tons), with a combined 80% share of total production.

From 2012 to 2021, the most notable rate of growth in terms of production, amongst the main producing countries, was attained by Mali (with a CAGR of +14.0%), while production for the other leaders experienced more modest paces of growth.

Sugar Exports

Exports in ECOWAS

In 2021, overseas shipments of sugar decreased by -8.9% to X tons, falling for the fourth consecutive year after four years of growth. In general, exports, however, enjoyed a perceptible increase. The most prominent rate of growth was recorded in 2017 with an increase of 70%. As a result, the exports reached the peak of X tons. From 2018 to 2021, the growth of the exports failed to regain momentum.

In value terms, sugar exports expanded rapidly to $X in 2021. Over the period under review, exports, however, enjoyed a modest expansion. The most prominent rate of growth was recorded in 2017 with an increase of 87% against the previous year. As a result, the exports reached the peak of $X. From 2018 to 2021, the growth of the exports remained at a lower figure.

Exports by Country

In 2021, Togo (X tons) represented the major exporter of sugar, constituting 48% of total exports. Benin (X tons) held the second position in the ranking, distantly followed by Cote d'Ivoire (X tons) and Niger (X tons). All these countries together took approx. 48% share of total exports. Gambia (X tons) followed a long way behind the leaders.

Togo was also the fastest-growing in terms of the sugar exports, with a CAGR of +116.7% from 2012 to 2021. Benin (-2.7%), Cote d'Ivoire (-2.9%), Gambia (-3.2%) and Niger (-6.3%) illustrated a downward trend over the same period. Togo (+48 p.p.) significantly strengthened its position in terms of the total exports, while Cote d'Ivoire, Benin and Niger saw its share reduced by -8.2%, -14.2% and -15.2% from 2012 to 2021, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Cote d'Ivoire ($X) remains the largest sugar supplier in ECOWAS, comprising 55% of total exports. The second position in the ranking was held by Benin ($X), with a 21% share of total exports. It was followed by Togo, with an 11% share.

In Cote d'Ivoire, sugar exports increased at an average annual rate of +10.2% over the period from 2012-2021. The remaining exporting countries recorded the following average annual rates of exports growth: Benin (-5.0% per year) and Togo (+86.2% per year).

Export Prices by Country

In 2021, the export price in ECOWAS amounted to $X per ton, growing by 18% against the previous year. Overall, the export price, however, continues to indicate a mild reduction. The level of export peaked at $X per ton in 2014; however, from 2015 to 2021, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2021, the country with the highest price was Cote d'Ivoire ($X per ton), while Togo ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Cote d'Ivoire (+13.5%), while the other leaders experienced mixed trends in the export price figures.

Sugar Imports

Imports in ECOWAS

In 2021, after nine years of growth, there was significant decline in purchases abroad of sugar, when their volume decreased by -5.2% to X tons. In general, imports, however, posted prominent growth. The pace of growth appeared the most rapid in 2015 when imports increased by 23%. The volume of import peaked at X tons in 2020, and then reduced in the following year.

In value terms, sugar imports rose modestly to $X in 2021. The total import value increased at an average annual rate of +4.3% from 2012 to 2021; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2016 with an increase of 22%. Over the period under review, imports attained the maximum in 2021 and are likely to see steady growth in the immediate term.

Imports by Country

Nigeria prevails in imports structure, finishing at X tons, which was near 76% of total imports in 2021. It was distantly followed by Ghana (X tons), constituting an 8% share of total imports. Togo (X tons), Guinea (X tons), Gambia (X tons), Senegal (X tons) and Benin (X tons) followed a long way behind the leaders.

Nigeria was also the fastest-growing in terms of the sugar imports, with a CAGR of +14.0% from 2012 to 2021. At the same time, Togo (+12.8%), Benin (+10.7%), Gambia (+10.6%), Guinea (+9.0%) and Ghana (+7.0%) displayed positive paces of growth. Senegal experienced a relatively flat trend pattern. Nigeria (+15 p.p.) significantly strengthened its position in terms of the total imports, while Ghana and Senegal saw its share reduced by -3.2% and -3.4% from 2012 to 2021, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Nigeria ($X) constitutes the largest market for imported sugar in ECOWAS, comprising 75% of total imports. The second position in the ranking was held by Ghana ($X), with an 8% share of total imports. It was followed by Senegal, with a 3.3% share.

From 2012 to 2021, the average annual growth rate of value in Nigeria totaled +5.9%. In the other countries, the average annual rates were as follows: Ghana (+0.2% per year) and Senegal (-2.0% per year).

Import Prices by Country

In 2021, the import price in ECOWAS amounted to $X per ton, surging by 9.1% against the previous year. Overall, the import price, however, recorded a deep downturn. Over the period under review, import prices hit record highs at $X per ton in 2012; however, from 2013 to 2021, import prices remained at a lower figure.

Prices varied noticeably country of destination: the country with the highest price was Senegal ($X per ton), while Togo ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Gambia (+3.7%), while the other leaders experienced a decline in the import price figures.

Source: IndexBox Platform