It seems that every time the sugar industry is on the news - it's never good, and usually its a report on a dispute or some grievance.
Well, tonight the news is good for all sides, millers and farmers. ASR/BSI today announced that the second crop payment is coming in at a near record estimate of seventy dollars and twenty two cents ($70.22) per tonne, the second highest price paid since 2000, and the highest since the deregulation of the European sugar market.
According to BSI's press release not only does this benefit the farmers directly but "payment will result in $17.8 million being circulated into the northern economy which is higher than last year." Here's more from a Zoom press briefing today:
Shawn Chavarria, BSI, Director of Finance
"Today we made a second payment to farmers here in the north. The second payment estimate was $70.22 which has highlighted in our press release is the second highest since 2000 and so its 2 consecutive years of very good sugar prices. Certainly, much higher than last year. The price last year was just over $63, now its $70. So we're at this point close to the final payment for last year which was just over $70 as well."
"I think we are definitely optimistic that the third payment continue to be better than the estimate we have right now, perhaps even better than the final payment last year, because we've been able to get good value and good prices for sugar, particularly for the direct consumption sugar. So we are optimistic that when third payment is made in the first Monday of November it could even be better than the second payment this year."
Chavarria says that they have high expectations for the third payment which is set to be made on the first Monday of November.
