Russia, the globe's top importer of sugar during the 2010-2011 season, will be displaced by three Asian nations, according to a brokerage for the sweetener.
Bloomberg reports drivers of the climb to the top spot by China, Indonesia and Malaysia include population increases, the rate of urbanization and Asian incomes rising, a report by C. Czarnikow Sugar Futures asserts. The London-based outfit also noted demand for sugar in Asia is scaling more quickly than production is occurring in the region.
"Asia is at the center of demand in the sugar market and likely to stay that way," brokerage director Toby Cohen said in prepared remarks. "Increasing demand is being driven not only by population growth, but also by urbanization and rising incomes, which allow for increased consumption of processed foods and soft drinks."
At 2 p.m. on Wednesday, sugar futures increased 0.47 percent, a 0.0013 cent lift to 27.62 cents per pound.
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