Sugar Market and Business Analysis in June

1.1 China’s Sugar Price Index Remained Steady, down 0.24% from Previous Month

The wholesale price index held steady in June, which averaged 5,402.68 yuan/ton, down 0.37% from last month, down 5.55% YoY.

1.2 0.20% Decrease of White Granulated Sugar from April

 (1) White Granulated Sugar
The overall trend of spot price for sugar remained steady. The average spot price for white granulated sugar was 5,425.86 yuan/ton in June, down 0.20% from the 5,436.61 yuan/ton in May, or 5.34% lower than the 5,732.06 yuan/ton in same period last year. The spot price had been 5,265.00 yuan/ton in Nanning till June 28^th, up 5.00 yuan/ton than May. 

1.3 The profit of imported raw sugar processing within the quota was 1,885 yuan/ton, and the profit outside the quota was 23 yuan/ton in June

The average of futures price for raw sugar (1907) in New York was 12.44 US cents/pound during in June, up 0.64 US cents/pound or up 5.38% from last Month, up 0.07 US cents/pound or 0.60% from the same period of last year. 
Based on the average international futures price in June. The cost of processing raw sugar imported within the quota (15%) should be about 3,408 yuan/ton (496 USD/ton), up 165 yuan/ton (22 USD/ton) from May. The cost of processing raw sugar imported outside the quota (85%) should be about 5,270 yuan/ton (770 USD/ton). Up 140 yuan/ton (16 USD/ton) from May. The monthly average spot price in Nanning was 5,293 yuan/ton (770 USD/ton), down 29 yuan/ton (8 USD/ton) from May. The profit from processing raw sugar imported within the quota should be close to 1,885 yuan/ton, down 185 yuan/ton over last month; loss of processing raw sugar imported outside the quota loss about 23 yuan/ton, down 170 yuan/ton over last month