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2019 to bring relief to global sugar industry

After a period of surplus in the market, the global sugar industry is set to recover in 2019, following a cut in production by Brazil, experts at the Dubai Sugar Conference 2019 said.
The fourth edition of the event brought together key players and decision-makers from various markets across the world, and was hosted by Jamal Al Ghurair, managing director and principal shareholder of Al Khaleej Sugar, and Jacob Robbins, founder and CEO of Emeterra.
"Dubai has become, without a doubt, a key hub for the global sugar industry, making it the place where the world of sugar meets, enabling us to host one of the biggest and most significant sugar conferences, in which more than 700 industry-leading delegates from over 60 countries will converge to debate and discuss the issues facing the global sugar industry," said Al Ghurair.
He agreed that times have been challenging for the global sugar industry, with a period of low prices and mounting surpluses. "We believe that 2019 will bring some relief to the sugar industry, with a slightly more positive picture emerging after two years of surplus and lower sugar prices. The sugar market is heading for a more balanced supply and demand."
According to reports, over the past five years, the global sugar manufacturing industry has declined by 1.2 per cent to reach revenues of $73 billion in 2018. In the same timeframe, the number of businesses has declined by 0.3 per cent. Experts have noted that there is still going to be a bit of uncertainty in the market, with changes in output. India, in particular, has plans to increase its sugar production by around 10 per cent for 2019. Brazil, which previously cut its sugar production and exports by 8-10 million tonnes in a bid to stay solvent, is also exploring the future of shifting to ethanol. While ethanol consumption has soared, experts are still waiting to see if that will remain the case.
"As the industry grapples with all these realities and more, what better time to meet and discuss, debate and chart the future course of the sugar trade, right here in Dubai," said Al Ghurair.
- rohma@khaleejtimes.com