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World sugar exporters ask India, Pakistan, EU to cut subsidies


(Reuters) - The world's top sugar exporters asked India, and the to eliminate subsidies, blaming such programs for weak prices and a supply glut, the for Sugar Trade Reform and Liberalization said on Thursday.

"Fueled by a glut of government-supported sugar from Pakistan, and the threat of subsidized Indian sugar exports, the world sugar price (ICE #11) has dropped to a level below the cost of production of even the most efficient producers in the world," of said in a release.

Raw sugar futures traded in have been hovering above a 2-1/2-year low of 10.69 cents per lb reached in April, with prices pressured by abundant global supplies as well as the weak Brazilian currency against the U.S. dollar.

The met in to discuss the degree to which subsidies provided and proposed by Pakistan, and the EU contravene (WTO) rules.

"There must be no exports of the subsidized sugar," said Eduardo de Sousa, of UNICA, the group in top sugar grower

"Global Sugar Alliance Members have identified export subsidies and domestic price supports in excess of WTO allowances and are urging our governments to take all necessary steps to ensure (that) and comply with WTO rules."

(Reporting by Marcy Nicholson; Additional reporting by Chris Prentice; Editing by Richard Chang)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Thu, July 19 2018. 23:52 IST