Mexico’s sugar exports go mainly to the United States and Puerto Rico, and to other destinations such as Morocco, Republic of Georgia, Colombia and Canada.
In the current cycle still underway, from October 2021 to August 21, 2022, Mexican sugar exports totaled 1 million 944,765 tons.
To the United States and Puerto Rico, these foreign sales totaled 730,181 tons, according to data from Mexico’s National Committee for the Sustainable Development of Sugarcane (Conadesuca).
Other destinations for these shipments were Cameroon, Venezuela, Benin, Hong Kong, Kazakhstan and the United Arab Emirates.
Globally, sugarcane accounts for almost 80% of the world’s sugar production, while sugar beet accounts for the rest of the world’s sugar production.
Sugar beet and sugar cane are used by sugar manufacturers as raw materials from which refined sugar (sucrose) is produced for industrial and consumer use. It is produced in various forms, including granulated, powder, liquid, brown and molasses.
Also, according to Teucrium Commodity Trust, the food industry (in particular, producers of bakery products, beverages, cereals, confectionery and dairy products) uses sugar and sugar cane molasses to produce food products containing sugar.
Beet pulp and molasses products are used as ingredients for animal feed.
Meanwhile, ethanol is an important by-product of sugarcane processing.
In addition, the material left over after sugarcane processing is used to make “green” paper, cardboard and kitchen utensils.
The price per pound of sugar in the United States depends mainly on U.S. and world production and demand, as well as on the expansive protectionist policies implemented by the U.S. government.
Overall, the long-term impact of sanctions, shipping disruptions, war collateral damage, and a possible widening of the conflict between Russia and Ukraine could further disrupt the availability of agricultural products and supplies.
Teucrium Commodity Trust indicates that volatility, trading volumes and prices in global sugar markets have increased dramatically and are expected to continue indefinitely at extremely high levels.