Brazil exports more sugar to Arab world
Figures released by the Brazilian Ministry of Development, Industry and Foreign Trade show that Brazilian sugar exports to the Arab countries increased by 51% in revenue during January this year in comparison with the first month of 2011. The value of exports amounted to US$ 341.9 million in the first month of 2012 against US$ 226.6 million in the same month of 2011. The volume shipped also grew in the period by 47.6%. In January 2012, an amount of 574,700 tonnes shipped, as against 389,100 tonnes in January 2011.
The sugar export growth in volume and revenues changes the status quo that had been taking place in the past, when the volume of Brazilian sugar shipped to the Arab world dropped, but revenues grew due to the constant price increase.
The reason for this new scenery in the global sugar market is mainly due to the production, which should grow 4.2% this year, according to projections by Barclay Capital, resulting in a surplus. But this is not definite, as there is uncertainty about the crop in by main sugar producers. This uncertainty has been generating volatility.
In the Arab world, the main buyer of Brazilian sugar in January was Egypt. Sales totalled US$ 96.6 million, against US$ 33.8 million in the same month in 2011. Saudi Arabia imported US$ 64 million, the United Arab Emirates, US$ 55 million, Morocco, US$ 39 million, Yemen, US$ 31 million, Algeria, US$ 21 million, Iraq, US$ 15 million and Tunisia, US$ 8 million. Other countries that also purchased were Mauritania, Lebanon, Libya and Jordan, but at lower values. (Source: english.nuqudy.com)