Vietnam likely to import more sugar in new crop

26-Jul-2016 Intellasia | TBKTSG | 6:00 AM Print This Post

Vietnam may have to import a larger volume of refined sugar than the quota the country has committed to the World Trade Organisation (WTO) in the 2016-2017 sugarcane crop due to a possible domestic undersupply.

Local sugar production and imports were discussed at a conference on the 2015-2016 sugarcane crop and market forecasts for the 2016-2017 crop held by the Vietnam Sugar and Sugarcane Association (VSSA) in HCM City on Tuesday.

Producers estimated sugar output in the 2016-2017 crop would total 1.5 million tonnes, unchanged from the previous crop.

Drought and saltwater intrusion in the Mekong Delta will impact sugar output and quality in the next crop, according to the Agro-Forestry-Fisheries Processing and Salt Production Department. Therefore, market and price elements on the domestic market would become unpredictable as the El Nino phenomenon is forecast to hit global supply.

As a result, Vietnam may have to import around 30,000 tonnes of sugar to meet local demand in addition to the WTO quota of 89,000 tonnes for the next crop. The department requested sugar mills to assess sugarcane supply to draw up appropriate production plans for the coming crop.

Earlier the ministries of industry-trade and agriculture-rural development sought government approval to import 200,000 tonnes of sugar besides the WTO quota of 85,000 tonnes. The trade ministry issued Circulars 09 importing an additional 100,000 tonnes of sugar.

Vietnam has this year imported 215,000 tonnes of sugar, including the extra 100,000 tonnes, 30,000 tonnes produced in Laos by Hoang Anh Gia Lai Group, and 85,000 tonnes under the WTO commitment.

http://english.thesaigontimes.vn/48729/Vietnam-likely-to-import-more-sugar-in-new-crop.html

 


Category: Business, Vietnam

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