Ecuador: Sugar Market 2022

Sugar Market Size in Ecuador

The Ecuadorian sugar market fell to $X in 2021, which is down by -3.9% against the previous year. Overall, consumption recorded a relatively flat trend pattern. Over the period under review, the market attained the maximum level at $X in 2016; however, from 2017 to 2021, consumption failed to regain momentum.

Sugar Production in Ecuador

In value terms, sugar production shrank to $X in 2021 estimated in export price. Over the period under review, production, however, saw a relatively flat trend pattern. The most prominent rate of growth was recorded in 2020 with an increase of 29% against the previous year. Sugar production peaked at $X in 2016; however, from 2017 to 2021, production failed to regain momentum.

The average yield of sugar in Ecuador was estimated at less than X kg per ha in 2021, flattening at the year before. In general, the yield showed 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 total area harvested in terms of sugar production in Ecuador totaled less than X ha, stabilizing at 2020 figures. In general, the harvested area continues to indicate a relatively flat trend pattern.

Sugar Exports

Exports from Ecuador

In 2021, sugar exports from Ecuador fell dramatically to X tons, which is down by -39.1% on the year before. Over the period under review, exports showed a pronounced contraction. The growth pace was the most rapid in 2016 with an increase of 51% against the previous year. Over the period under review, the exports hit record highs at X tons in 2017; however, from 2018 to 2021, the exports remained at a lower figure.

In value terms, sugar exports dropped notably to $X in 2021. Overall, total exports indicated a pronounced expansion from 2012 to 2021: its value increased at an average annual rate of +3.7% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, exports decreased by -8.8% against 2018 indices. The most prominent rate of growth was recorded in 2016 with an increase of 36%. The exports peaked at $X in 2017; however, from 2018 to 2021, the exports stood at a somewhat lower figure.

Exports by Country

The United States (X tons) was the main destination for sugar exports from Ecuador, accounting for a 69% share of total exports. Moreover, sugar exports to the United States exceeded the volume sent to the second major destination, Colombia (X tons), threefold. Italy (X tons) ranked third in terms of total exports with a 3.1% share.

From 2012 to 2021, the average annual growth rate of volume to the United States totaled -3.3%. Exports to the other major destinations recorded the following average annual rates of exports growth: Colombia (+74.8% per year) and Italy (-19.0% per year).

In value terms, the United States ($X) remains the key foreign market for sugar exports from Ecuador, comprising 79% of total exports. The second position in the ranking was taken by Colombia ($X), with a 10% share of total exports. It was followed by Italy, with a 6% share.

From 2012 to 2021, the average annual rate of growth in terms of value to the United States totaled +4.9%. Exports to the other major destinations recorded the following average annual rates of exports growth: Colombia (+59.9% per year) and Italy (-7.9% per year).

Export Prices by Country

In 2021, the average sugar export price amounted to $X per ton, growing by 38% against the previous year. In general, export price indicated a strong expansion from 2012 to 2021: its price increased at an average annual rate of +6.3% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, sugar export price increased by +76.6% against 2019 indices. As a result, the export price reached the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices for the major export markets. In 2021, the country with the highest price was Italy ($X per ton), while the average price for exports to Colombia ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Italy (+13.7%), while the prices for the other major destinations experienced more modest paces of growth.

Sugar Imports

Imports into Ecuador

In 2021, overseas purchases of sugar increased by 48% to X tons, rising for the second year in a row after two years of decline. Overall, imports recorded a mild increase. The pace of growth was the most pronounced in 2014 when imports increased by 151% against the previous year. Imports peaked at X tons in 2017; however, from 2018 to 2021, imports remained at a lower figure.

In value terms, sugar imports surged to $X in 2021. Over the period under review, imports, however, showed a perceptible slump. The most prominent rate of growth was recorded in 2014 with an increase of 134%. Over the period under review, imports attained the maximum at $X in 2017; however, from 2018 to 2021, imports remained at a lower figure.

Imports by Country

Colombia (X tons), Bolivia (X tons) and Guatemala (X tons) were the main suppliers of sugar imports to Ecuador, together accounting for 96% of total imports. Peru and Nicaragua lagged somewhat behind, together accounting for a further 4%.

From 2012 to 2021, the biggest increases were in Peru (with a CAGR of +87.9%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, the largest sugar suppliers to Ecuador were Colombia ($X), Bolivia ($X) and Guatemala ($X), with a combined 95% share of total imports. These countries were followed by Peru and Nicaragua, which together accounted for a further 4.3%.

Peru, with a CAGR of +67.6%, saw the highest rates of growth with regard to the value of imports, among the main suppliers over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The average sugar import price stood at $X per ton in 2021, with an increase of 5.9% against the previous year. Over the period under review, the import price, however, continues to indicate a perceptible curtailment. Over the period under review, average 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 origin: the country with the highest price was Peru ($X per ton), while the price for Nicaragua ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Bolivia (-0.7%), while the prices for the other major suppliers experienced a decline.

Source: IndexBox Platform