Sugar sector to stay same, says CAP analyst

The European Commission expects little change in EU sugar processing subsequent to the end of sugar quotas in 2015.

Commenting on sugar market balance projections to 2020, published by the commission, Common Agriculture Policy expert Alan Matthews said: “It is striking how steady the market balance remains over the projection period.”

He said the EU had turned from a net exporter into a net importer of sugar. “Despite the expectation of relatively high prices, and the end of production constraints following the expiry of the quota system, it is projected that the net-trade position of the EU will not change much during the projection period. This implies that the EU import market will still be available after 2015 for those developing-country exporters that currently meet this demand,” said the professor emeritus of European agricultural policy at Trinity College, in the capreform.eu blog.