Sugar ranks among the most basic items in international trade, with global manufacturing and consumption. Sugar is crucial to the economies of many countries, providing jobs and income to millions of individuals worldwide. The sugar trade is sizable on a global scale, with countries importing and exporting large amounts of raw sugar and refined sugar products.
Brazil, the world’s largest producer of sugar, exports large amounts of raw sugar to China, India, and the United States. These countries import raw sugar in order to refine it for domestic demand. Sugar’s relevance in global trade is predicted to increase over the next few decades, with rising demand for sugar in emerging markets and changing dietary habits around the world.
Sugar Production Forecast by Country 2023
|Ranking||Country||Million Tonnes Per Year|
Brazil is the world’s largest sugar producer, with approximately 25% of global sugar production. Sugar-producing regions in Brazil include So Paulo, Minas Gerais, and Parana. Razen, a joint venture between Shell and Cosan, owns Brazil’s largest sugar industrial unit. The company was one of the earliest to introduce agritech (agriculture and technology) to maximize the sugar yield. According to the forecast, Brazil produces 37 million tonnes in 2023.
In addition to its strong private sector, the Brazilian government has played an important role in the country’s sugar industry. The Proalcool program, launched in the 1970s to reduce the country’s reliance on imported oil, is an example of government strategy. The program promoted sugarcane ethanol as an alternative fuel, increasing investment in the sugar industry and trying to assist Brazil to become a global leader in sugar production.
India is the world’s second-largest producer of sugar, accounting for approximately 15% of global production of sugar. The country’s sugar-producing regions include Uttar Pradesh, Maharashtra, and Karnataka. Bajaj Hindustan owns India’s largest sugar industrial unit, which produces over 3.5 million tonnes of sugar per year. In 2023, the expected total production is 35 million tonnes .
The Indian government has put in place several initiatives aimed at promoting the country’s sugar industry, such as the Minimum Support Price (MSP) for sugarcane and the Ethanol Blending Program (EBP). To safeguard farmers from price fluctuations, the government has imposed a floor price for sugarcane under the MSP. The EBP promotes ethanol as an alternative fuel, which has halved the country’s reliance on imported oil while also offering an alternative market for surplus sugar production.
Thailand is another major sugar provider, contributing roughly 8% of global sugar production. The country has many well-known sugar-producing regions, including Isan in the northeast and Nakhon Sawan in the center. Mitr Phol Sugar Corporation is Thailand’s largest sugar industrial unit, producing over 5 million tonnes of sugar per year. Thailand will produce 11 million tonnes by the end of 2023, according to FAO.
The Thai government has implemented many policies to help the country’s sugar industry, including the Cane and Sugar Fund, which provides financial assistance to farmers while also helping to stabilize sugar prices. Moreover, the government has proposed the utilization of sugarcane bagasse as a source of clean energy.
China is one of the major sugar producers in the world, accounting for around 7% of global sugar production. The country has several famous sugar-producing regions, including Guangdong, Guangxi, and Yunnan. The top sugar industrial unit in China is owned by COFCO, which produces over 3 million tonnes of sugar per year. Overall, sugar production is expected to reach 10.4 million tonnes in 2023.
The Chinese government has implemented several policies to support the country’s sugar industry, including subsidies for sugar farmers, price support for domestic sugar production, and import tariffs on foreign sugar.
5- The United States
The United States is a sizable sugar producer, with Florida, Louisiana, and Texas manufacturing its most sugar. American Sugar Refining is the largest sugar industrial unit in the United States, with a total annual production of whole country is around 7.6 million tonnes .
To limit competition and protect domestic producers, the US government enforced import quotas and tariffs on multinational sugar companies. Despite criticism that these policies raise consumer sugar prices, the US sugar industry has successfully maintained a strong domestic market while also exporting to other regions.
Pakistan is one of the leading sugar producers in the world, with Punjab and Sindh being the top sugar-producing regions. The top sugar industrial unit in Pakistan is owned by JDW Sugar Mills. In 2023, Pakistan estimated sugar production is 7.3 million tonnes .
The government has also encouraged investment in sugar processing technology to increase productivity and efficiency. Despite these policies, the Pakistani sugar industry faces several challenges, including water scarcity, outdated technology, and low yields. Moreover, the industry has been marred by allegations of price manipulation and corruption, which have led to protests by farmers and consumers.
Russia is one of the world’s emerging sugar producers, with the Krasnodar Krai region producing so much sugar. Prodimex owns Russia’s largest sugar industrial unit, which produces and exports sugar mainly to former Soviet Union countries. Russia’s production is estimated to surpass the figure of 6.2 million tonnes in 2023.
The Russian government is trying to encourage investment in sugar processing technology to improve efficiency and productivity. Furthermore, the government is encouraging the use of sugarcane bagasse as a renewable energy source in order to reduce reliance on fossil fuels.
Mexico is one of the leading sugar producers in the world, with Veracruz, Jalisco, and San Luis Potosi being the top sugar-producing regions. Mexico’s top sugar industrial unit is owned by Ingenio Plan de Ayala. According to FAO, Mexico’s total sugar production is 6 million tonnes in 2023.
The government is also promoting organic farming practices and sustainable agriculture to ensure the long-term viability of the sugar industry. These efforts are expected to contribute to the country’s economic growth and social development.
Australia is a major sugar producer, with Queensland being the top sugar-producing region. Wilmar Sugar owns Australia’s top sugar industrial unit, and total production will reach 4.1 million tonnes in 2023.
The Australian government has implemented several strategies to support the country’s sugar industry, including the Sugar Industry Code of Conduct to ensure fair and transparent contracts between growers and millers. These strategies have helped to increase the competitiveness of the Australian sugar industry and ensure its long-term viability.
Egypt is a major sugar producer, with the Nile Delta region being the top sugar-producing region. Al-Nouran Sugar Company owns the top sugar industrial unit in Egypt, and total production is estimated to surpass the figure of 2.8 million tonnes in 2023.
The Egyptian government has implemented several programs to support the country’s sugar industry, including the Sugar Cane Development Fund, which funds farmers to modernize their equipment and increase their yields. The government has also established the Sugar and Integrated Industries Company to manage the country’s sugar mills and ensure their efficiency.