August 10, 2009

Sugar prices soar with rain a factor

Unfavorable weather in India and Brazil has sent the price of sugar futures soaring in New York and London, analysts say.

White sugar-futures reached a record $538.50 a ton on London's International Financial Futures and Options Exchange, International Business Times reported.

On New York's IntercontinentalExchange, sugar reached 22.2 cents a pound, The Los Angeles Times said.

The problem is rain: Too much in Brazil and not enough in India, the newspaper said.

As a result, sugar prices have risen 88 percent since Jan. 1. Since Friday, prices jumped 6.7 percent. In the past two weeks, sugar prices have soared more than 20 percent.