Russia's AgMin sees stable price situation on sugar market

MOSCOW. March 2 (Interfax) - The price situation on the Russian sugar market is currently stable thanks to the growth of production and accumulated stockpiles, the Agriculture Ministry said.

Producer prices as of March 1 were up by 7.5% from a year earlier, which is less than the rate of inflation, the ministry said.

Russian sugar refineries processed 43.2 million tonnes of sugar beet this season, 16% more than in the previous season, and produced 5.9 million tonnes of beet sugar, the ministry said, citing data from industry association Soyuzrossakhar. They might produce about another 200,000 tonnes of sugar from beet molasses, syrup and raw cane sugar.

Overall sugar production in Russia is expected to increase by 5% to 6.1 million tonnes this season, which is enough to meet the needs of the domestic market, as well as those of other Eurasian Economic Union countries, the ministry said.

Consumer prices for granulated sugar rose by 0.13% in the week from February 21 to 27, compared to 0.05% a week earlier, the Federal Statistics Service reported on Wednesday. Until then, prices had decreased.