Raw-sugar prices have surged 86% this year to a 28- year high on concern that a global production shortfall will widen amid a drought in India and rain in Brazil, the two biggest sugar cane producers. In addition, the global sugar trade is also impacted by European protectionism and subsidized ethanol in Brazil.
While is only a matter of time before Farmers shift back to sugar cane due to higher prices, the damage is done this year.
