Vietnam may lack enough sugar in August and September, the Ministry of Agriculture and Rural Development warned May 7.
|Sugar cane farmers in Gia Lai Province (Photo: Tuoi Tre)|
It is estimated that 9.65 million tons of cane would be processed into 915,000 tons of sugar. However, the current crop output will fall by 20 percent compared with the previous sugar crop. Current stocks total 173,600 tons, with 61,000 tons of imported sugar.
With sugar refineries only beginning new production in September, it will take sometime before new stocks appear on the market. Supply may not meet demand in late August and September.
In order to prevent this from happening and subsequent high prices, it is necessary to calculate sugar imports in July to balance supply and demand, the ministry said.
Domestic sugar prices have increased to VND8,800 to 9,000 a kilogram, up VND500 to 700 over March and VND900- 1,700 since the beginning of the year.
Sugar prices are forecast to increase to VND10,200-10,500 a kilogram in May.