In our revision of the official figures of the sugar and sweetener balance in Mexico , apparent domestic sugar consumption in Mexico (domestic sales and imports) were 918,000 tons from the almost 932,000 tons of December 2010, below the 1.1 million tons of December 2009

National sugar exports continue to be weak

National sugar exports from October to December 2011 reached 179,000 tons. According to official information, in December 2011 only 50,000 tons were exported compared to 56,000 tons in November 2011

Sugar mills are petitioning for imports to stop

Using the argument that higher sugar imports could cause a disequilibrium in markets, leaders of the National Chamber of the Sugar & Alcohol Industry (CNIAA) maintain that the arrival of sugar will have an impact on both prices and mills in the country

In the most recent official register, including an estimate for three mills which have not yet issued their first production figures, weekly sugar production has only just exceeded 170,000 tons with the difference compared to the last harvest at the same date being more than 18%

Harvest report

The most recent harvest data reports a sugar production of almost 914,000 tons, almost 19% less than produced the same week of January last year

· Domestic mills should now close export contracts

· Sugar prices in Mexico

USA envisions less sugar in Mexico; more quotas will be necessary

USA sugar imports in 2012 will be 22% less than the previous year due principally to lower estimated imports from Mexico. The US government estimates that sugar production in Mexico will only arrive at 5 million tons (compared to a 5.3 million ton estimate in December)

Annual sugar imports from the US in 2012 will fall almost 22% due mainly to fewer imports from Mexico. According to the USDA, Mexican sugar purchases will only reach 1.03 million short tons, raw value, equivalent to a fall of 500,000 short tons compared to 1.58 million tons calculated last month

Sugar production in the last harvest report in Mexico was almost 914,000 tons, almost 19% less  than produced up to the first week of January 2011

The Economy Ministry is considering this month approving what is has termed an “umbrella sugar import quota” for 400,000 tons

The drought of past months is changing the sugar forecast for the country.  In our most recent update of the National Sugar Balance Estimate for the 2011/12 harvest, sugar production will be 4.9 million tons, 100,000 tons less than last month’s estimate and almost 5.5% less than the 5.18 million tons produced in the previous cycle