NEW YORK, Jan 12 (Reuters) - The United States will likely produce more sugar than initially expected in the 2023/24 season (October-September), the government said on Friday, as both the sugar beet and sugar cane industries reported better results in the last month.
The U.S. Department of Agriculture (USDA) increased its estimate for total U.S. sugar production in its monthly supply and demand report WASDE to 9.39 million short tonnes (ST) from 9.24 million ST last month.
The department also adjusted upwards its estimate of U.S. sugar imports in 2023/24 to 3.31 million ST, roughly 50,000 ST more than in the previous report in December.
Sugar supply in the U.S. is seen improving as a result of higher production and imports. The USDA sees the stocks-to-use ratio, an indicator of product availability, rising to 13.7% from 12.8% in December.
U.S. sugar users, such as bakers and candy makers, have complained in the past year about market conditions, saying supply was generally tight and prices high, so if the new USDA projections are confirmed conditions will be more favorable in 2024. (Reporting by Marcelo Teixeira; Editing by Richard Chang)
