Opinion

Optimism high for sugar prices

Australian sugar growers can expect strong prices despite an international price drop.
Australian sugar growers can expect strong prices despite an international price drop. File

DESPITE the fact world sugar prices have fallen away in recent months, there is still a lot to be optimistic about for sugar prices.

In recent months world sugar prices have come off highs of about 28 cents per pound / lb (US) to be currently trading about 21 cents. / lb US.

The cooling off of sugar prices reflects a broader softening of world commodity prices.

More particularly for sugar, market commentators are predicting the first global surplus of world production to world consumption in three years.

This global surplus comes as no surprise given that world sugar prices have been quite high for over more than three years and it was always certain a production response would push the production consumption equation back into balance.

Normally any market sentiment pitched towards global surplus would result in a collapse of sugar price.

However this has not been the case this time around as the price is still trading at levels between 20 to 22 cents per pound. / lb. These are quite strong prices.

The exchange rate is finally going in the right direction and the fall away of the Australian dollar to the US greenback has somewhat offset the reduction of sugar price.

In summary, while a global surplus seems certain, world sugar prices have not collapsed and these prices are still being supported by strong global demand for sugar.

I remain optimistic that sugar prices will continue to trade at quite strong values.

Great Barrier Reef Marine Park Authority (GBRMPA) chairman Russell Reichelt was guest speaker at Canegrowers Mackay's annual Mackay Area Committee (MAC) information meeting.

It is encouraging that Dr Reichelt commended Mackay cane farmers and cane farmers in general for the great strides we have taken towards environmental sustainability.

Far too often we as an industry have had to defend our environmental credentials from a whole range of detractors.

It is so pleasing that someone outside of the industry, in this case GBRMPA, has acknowledged that our cane farmers are innovative.

This innovation is resulting in land management practices that are on a par with some of the best land management stewardships in the world.

The Queensland sugar industry takes its environmental responsibilities very seriously.

Topics:  economy environment export farmers rural sugar



Invisible threat adds burn to heatwave

You can't feel it or see it but UV radiation is what's causing sunburn and it's at extreme levels.

UV radiation more than five times safe limit during heatwave

Next NSW Premier Gladys Berejiklian to tackle One Nation

NEW South Wales’s first female Liberal premier Gladys Berejiklian has vowed to fight Pauline Hanson’s One Nation

“People want to be heard —not just at elections but at all times."

Positive signs for Clarence Valley property market

Yamba had the most expensive units and houses over the year to October.

Yamba houses sell for median of $500,000 each

Local Partners

Lifeguards commended after rescuing eight at Pippi

Lifeguards Harry Fahey and Mikey Gilliman talk about their 'textbook rescue' of eight swimmers while on patrol at Pippi Beach


Festival director joins stars at Sundance

ACTION: Wendy Gibbs, director of the Bent Bridge Film Festival, before heading off to the Sundance Film Festival in the US.

Rubbing shoulders with celebrities at film festival

5 things to do this weekend

Lower Clarence Relay for Life Swim

Looking for something to do this weekend?

Puppetry of the Penis secrets revealed ahead of show

The famed Puppetry of the Penis is coming to the Sunshine Coast for shows in Noosa and Caloundra.

WARNING: This interview contains adult themes and traces of nuts

Kristen Stewart to host SNL

Kristen Stewart will host a pre-Super Bowl episode of SNL next month

Louis Tomlinson celebrated his son's first birthday

Louis Tomlinson and Briana Jungwirth celebrate son's first birthday

Kylie Minogue will take husband's name

Kylie Minogue will take her fiancé Joshua Sasse's surname

Nicole reveals her biggest parenting challenges

Actress Nicole Kidman.

Nicole Kidman says her kids are ‘deeply attuned' to her moods.

Suicide Squad director reveals his regrets about the film

Margot Robbie in a scene from the movie Suicide Squad.

DIRECTOR of superhero flick on what he’d change about ‘flawed’ film.

Meet the new Marco on MasterChef Australia: Yotam Ottolenghi

Israeli-born, London-based chef Yotam Ottolenghi will be a guest chef for a week on the 2017 season of MasterChef Australia.

AFTER Marco’s defection to Seven, MasterChef signs a true food hero.

Positive signs for Clarence Valley property market

Yamba had the most expensive units and houses over the year to October.

Yamba houses sell for median of $500,000 each

Thousands of jobs part of $1b retirement village project

THIS YEAR: An artist impression of the new Aveo retirement village in Springfield.

Aveo Springfield unveiled this month, homes ready by July

Rates safe from land value hike

DRIVING GROWTH: The Pacific Highway upgrade has been linked to improved land values.

Figures up in latest valuer-general report

KNIFE-EDGE: The housing tightrope we now face

Even the smallest interest rate rise will be hard for some to handle.

One if five home owners at risk, according to new analysis

Historical home leaves family's hands after 75 years

SALE CONFIRMED: The Gympie Regional   Realty team which sold the Ramsey property are (back) Mel Gastigar, Dorothy Palmer and Margaret Cochrane, with (front) home seller Terri-Jayne Ramsey.

Ramsey family played a huge role in Gympie's growth.

Ready to SELL your property?

Post Your Ad Here!