Morning Call Mar 23rd, 2026

NY raw sugar market ended the week sharply higher, with May 2026 rising 33 points on the day and 133 points on the week to US$ 15.70 c/lb, the highest level since October 2025. Support came from higher oil prices amid escalating Middle East tensions and climate uncertainties linked to El Niño.
 

CFTC: funds and small specs reduced the net short position in the NY raw sugar market, moving from 207,886 lots on March 10th, to 205,803 lots on March 17th.
 

Costa Rica: the government declared a phytosanitary emergency following the spread of orange rust in cane fields, now affecting around 40% of the planted area and reducing yields by 37%.
 

Costa Rica: authorities have already implemented control measures, but the spread of the disease increases the risk of further losses in sugar production and impacts on producers’ income.
 

India: ethanol blending rate in gasoline reached 20% in February, up from 19.7% in February last year, maintaining an average of 20.0% in the 25/26 ethanol supply year (Nov/Oct).
 

India: ethanol consumption for blending totaled 880 million liters in February, reaching 3.54 billion liters since November 2025, up 13.2% YoY.
 

NNE Brazil: cane crushing in the 25/26 season reached 1.89 mmt in 2H February (-6.6%), totaling 45.31 mmt since September (-2.8%).
 

NNE Brazil: industrial yield reached 124.41 kg TRS/mt in 2H February (+5.5%), with an average of 126.07 kg TRS/mt in the season-to-date (-7.6%), reflecting losses throughout the cycle.
 

NNE Brazil: sugar mix reached 55.30% in 2H February (-2.0 p.p.), with an average of 51.31% since September (-4.5 p.p.).
 

NNE Brazil: sugar production totaled 124 k mt in 2H February (-4.9%), reaching 2.79 mmt since the start of the season (-17.4%).
 

NNE Brazil: boosted by corn ethanol, total ethanol production reached 98 million liters in 2H February (+61.4%) and 2.08 billion liters since January (+26.0%).
 

NNE Brazil: a significant share of mills has already ended the season, with seven states completed and 15.8 mmt processed (29.9% of total), with operations still ongoing in Alagoas, Paraíba, Pernambuco, and Sergipe.