Asian sugar prices falling as buyers wait
Published: 03/16/2010, 10:25:43 AM
Physical sugar prices in Asia continued sliding in the week to Tuesday, as falling futures prices kept buyers waiting on the sidelines, according to Dow Jones.
"Buyers are waiting for better prices," said a trader with one of the largest producers in Thailand.
Cash premiums for Thai J-spec raw sugar, a low-quality grade, for March-May shipment were bid at 140 points over the ICE May contract and offered at 165 points, wider from a week earlier.
"The market is very quiet, and we don't hear lots of quotes," the trader said.
Meanwhile, an ongoing drought in Thailand is expected to cut the country's coming sugarcane crop, after having hit this year's production and yield.
"Traders fear the demand by some industry associations to re-impose the tax may slow down imports," said Ashok Jain, president of the Bombay Sugar Merchants Association.