Pakistan: Sugar Annual
Pakistan’s Marketing Year 2019/20 sugar production is forecast at 5.2 million tons, a 5 percent decrease from the current year’s revised estimate as delays in cane payments and reduced expectations surrounding support pricing are prompting some farmers to switch to other crops such as cotton and corn. Sugar consumption for the same year is forecast at 5.6 million tons, slightly higher than last year’s estimates, and exports are forecast at 500,000 tons. Ending stocks are expected to decrease to seven year low mainly due to decreased production. The current year’s production estimates are revised down 24 percent from last year mainly due to the delayed start of the crushing season. Sugar production for MY 2017/18 is revised down to 7.2 million tons based on crushing volume and sucrose contents. MY 2017/18 sugar exports stand at 1.6 million tons mainly due to a subsidy of $97 per metric provided to sugar exporters. Since last year, sugarcane area and production are on a decreasing trend mainly due to farmer’s discontent in not receiving procurement prices and delayed payments for their produce.