Today (Mar 2), the market for sugar in China is shown as follows:

The most-active contract for sugar futures moves lower after opening high on China’s Zhengzhou Commodity Exchange. As of 11:30 am, the most-active May contract ended 35 CNY/tonne lower at 5,375 CNY/tonne with the high of 5,486 CNY/tonne and the low of 5,373 CNY/tonne; nearby March contract settles 36 CNY/tonne lower at 5,360 CNY/tonne with the high of 5,395 CNY/tonne and the low of 5,360 CNY/tonne.

Spot sugar prices fall back with small orders traded. New sugar is priced at 5,370-5,450 CNY/tonne in Guangxi, flat from yesterday; in Yunnan, new sugar is priced at 5,370-5,380 CNY/tonne in Kunming and 5,340-5,350 CNY/tonne in Dali with no change from yesterday; new sugar is steadily offered at 5,360-5,400 CNY/tonne in Zhanjiang, Guangdong; new sugar also remains flat at 5,340 CNY/tonne in Hainan.

Processed sugar prices keep steady with a decline in coastal regions and not available in some enterprises. Grade I carbonized sugar is unchanged at 5,520 CNY/tonne in Fujian, 10 CNY/tonne lower at 5,460 CNY/tonne in Guangdong, unchanged at 5,570 CNY/tonne in Shandong, 20 CNY/tonne lower at 5,450 CNY/tonne in Liaoning and not available in Hebei (5,470 CNY/tonne yesterday).

Zhengzhou sugar futures fluctuate to fall in the morning. Cash prices stay stable with a marginal decrease. Market participants are staying on the sideline and waiting for the moment, seeing an off-season in trading. It is expected that spot sugar will keep range-bound in the afternoon.

(USD $1=CNY ¥6.46)