SOFTS-Raw sugar hits three-week high while cocoa also climbs

Mondelez International, Inc. Class A

Mondelez International, Inc. Class A

MDLZ

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- Raw sugar futures on ICE rose to a three-week high on Wednesday, boosted by further gains in energy markets, while cocoa prices also climbed.


SUGAR

* Raw sugar SBc1 was up 2.3% at 14.43 cents per lb by 1352 GMT after touching its highest since April 8 at 14.49 cents.

* Higher energy prices can lead to more use of cane to produce biofuel ethanol and therefore reduce sugar production.

* Sugar production in Brazil's key centre-south region in the first half of April is expected to have fallen 26.4% year on year to 541,000 metric tons, a survey of analysts from S&P Global Commodity Insights showed on Tuesday.

* The survey indicated that both cane and ethanol output is expected to have risen in the period.

* White sugar LSUc1 gained 1.3% to $438.50 a ton.


COCOA

* London cocoa LCCc2 rose 0.6% to 2,553 pounds a ton.

* Dealers said concerns remained that a shortage of fertilisers and an El Nino weather event could curb global production in the 2026/27 season.

* StoneX cut its forecast for a global cocoa surplus in the 2026/27 season to 149,000 metric tons from a previous projection of 267,000 tons.

* There are also early signs that demand could be starting to recover after falling in 2025.

* Oreos maker Mondelez International beat Wall Street estimates for first-quarter revenue and profit on Tuesday, helped by higher prices and resilient demand for its chocolates and biscuits.

* New York cocoa CCc2 gained 0.7% to $3,405 a ton.


COFFEE

* Arabica coffee KCc2 rose 0.7% to $2.9285 per lb.

* Dealers said the arabica harvest in top producer Brazil should start to gather pace next month and generally dry weather is expected to aid early progress.

* Robusta coffee LRCc2 lost 0.6% to $3,461 a ton.