Recent trends in the East African sugar markets, as reported by Kulea, show notable price changes. Nairobi saw a modest increase of 1.17% (USD 10.14) per MT for VHP sugar, while Mombasa experienced a more significant rise of 2.97% (USD 25.75). Mogadishu reported the lowest price per ton in the region at USD 730, attributed to increased Brazilian raw stocks from recent imports.
The parity graphs indicate favorable offers for VHP sugar from the World Market for the week. There were no offers from COMESA (FTA and non-FTA) for any type of sugar. Sugar from the EAC market attracted negative parity in Mombasa due to higher landing costs compared to domestic prices.
For another consecutive week, no vessels were flagged as destined for any EAC ports.
Overall, the Nairobi and Mombasa markets saw increases in VHP sugar prices, reflecting fluctuating dynamics in local demand and supply. These changes are influenced by both domestic factors and global market conditions. International trade agreements and global supply chains play a crucial role in determining local prices within the East African Community (EAC). Maintaining competitive pricing and ensuring sustainable production amidst global supply and price fluctuations remains key for stakeholders in the EAC sugar sector.
Source: kulea.com