The Vietnam Sugar Association (VSSA) said that in January 2020, the Nong Cong sugar plant finished its crop as early as January 19, due to the lack of sugarcane. By January 31, sugar factories in the Central Coast were prepared for production after Tet.
Thus, only the number of sugar factories that are producing before Tet continues to produce in January 2020 but due to the Tet holiday interruption period from January 19 to February 3 to February 5, from 25 Tet to approximately 10 – 12 January Canh Ty, the production output is not large.
Accumulated from the beginning of the crop to January 31, the sugar factory pressed about 2.5 million tons of sugarcane and produced nearly 250,000 tons of sugar of all kinds, according to VSSA data.
On the world market, according to the ISO report, the world sugar price of the first month of 2020 reflects the consensus view that the market is facing a significant deficit in 2019/20, as well as the increase in short buying of speculative funds.
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| Price movements of world sugar in January 2020. Source: VSSA |
Raw sugar prices (as measured by the daily price of ISA) improved from US $ 13.24 per pound, listed at the beginning of the month, to US $ 14.57 per pound on January 23, a record price. highest in 24 months.
At the end of the month, the price was about US $ 14.40 per pound, resulting in a monthly average of US $ 14.13 per pound, up 5.4% compared to December 2019.
White sugar on the London floor to January 20, 2020 surpassed 400 USD / ton, to 31/1 reached 402.7 USD / ton.
If calculated from the beginning of November 2019 to January 31, 2020, the increase rate is 19%. This is a significant increase, and the price of white sugar is tending to increase more than raw sugar, the VSSA report said.
Meanwhile, in the domestic market, wholesale prices (including VAT, VND / kg) in the second half of January 2020 did not change much, fluctuating at the same level as the first half of January 2020 until the end of Tet holidays. .
After Tet holiday, prices show signs of slight increase if calculated for the last days of January 2020, especially in the Northern and Hanoi markets, depending on the sugar grade (quality and grain size) with different prices.
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| Fluctuation of domestic sugar prices in January 2020. Source: VSSA |
According to VSSA, in January 2020, there was an official import sugar that applied to eliminate import quota of ATIGA for domestic consumption at the end of January 2020, after Tet holiday, the price of this sugar source was sold to the market lower. Domestic sugar production is at 12,400 – 12,800 VND / kg, some places have higher price, about 13,200 – 13,300 VND / kg.
In addition, Thai gonorrhea in the second half of January 2020 had less exciting developments, probably due to the Tet holiday and the impact of corona pneumonia due to inspection and travel restrictions, gonorrhea decreased. sold in North and North Central markets.
In Ho Chi Minh City and the Southern provinces of contraband roads still operate, but after Tet, they are competing with the official import routes under the ASEAN Trade in Goods Agreement (ATIGA). Smuggled sugar is always lower than domestic sugar at about VND 200 – 300 / kg, prices in 3 similar regions are about 12,500 – 12,600 VND / kg, there are also places below this price.
According to Economy & Consumer
