Multiple Places in Guangxi Flag Subsidy Policy for Sugar

(1) Guangxi authority promulgated the “Implementation Scheme on Extension of Technologies on Elite Species and Good Methods of Sugarcane” and clarified a clear development goal. Through subsidizing elite breeds and good methods, cane farmers are guided to use virus-free healthy seedlings, and there is promotion of whole-process mechanization of of cane farming. The subsidy is 350 yuan/mu for farmers that use elite breeds, and for high-efficiency mechanized farming, the subsidy is 1,000 yuan per mu. After this Scheme was announced, various places in Guangxi and even enterprises formulated their own subsidy rates. On top of the provincial subsidy, farmers could also enjoy extra subsidy from local authorities and the highest rate could be 1,250 yuan/mu. Such substantial subsidy has a great significance for mobilizing farmers and profit, and is favorable to the guarantee of the bedrock for the growth of the sugar industry.
 
(2) Sugar production 8.8254 million tons in February, up 19.63% YoY; sales amount 4.0172 million tons, up 18.86% YoY; sales ratio 45.52% and industrial stock 4.8082 million tons.
 
(3) Sugar price down 1.15% MoM. Sugar price slipped slightly during the month owing to the restrained demand from the downstream due to the pandemic which seems should have a long-term impact. Sugar consumption during the campaign is not optimistic and the price can hardly move up.