Sugar producer Saint Louis Sucre (SLS), owned by Germany’s Suedzucker, has asked French farmers not to increase beet production in 2024. Otherwise, it will not be possible to avoid a drop in sugar prices against fierce competition from Ukrainian sugar, reported Reuters.
“Our ambitions to increase the area… face competition within the framework of the EU’s solidarity efforts with Ukraine,” the SLS letter states.
Statistics show that sugar imports from Ukraine to the EU increased to 390,000 tons from October 2022 to July 2023, compared to 25,000 tons in the same period of the previous season. Suedzucker believes that Ukrainian sugar, which can undermine EU markets, should be re-exported to third countries.
In July 2023, European sugar cost €915 ($983.17) per ton, up 57% from last year and double the July 2021 price. Previously, the Ukrainian government had banned sugar exports until September 15, 2023.