SOFTS-Raw sugar falls as risk off sentiment prevails

Updates prices

LONDON, Oct 1 (Reuters) – Raw sugar futures on the ICE fell on Friday, the first day of the 2021/22 season, with worries over inflation boosting the dollar and weighing on sentiment in global equity and commodity markets. FRX/MKTS/GLOB

SUGAR

* March raw sugar SBc1 ​​fell 0.7% to 20.20 cents per lb at 1403 GMT.

* Dealers said the small delivery of around 226,000 tonnes versus the October contract that expired on Thursday was bearish, especially as the contract expired at a large discount to March, indicating poor demand.

* Going forward, they noted another global deficit is expected this season and that end users, who have been deterred from buying due to high global freight rates, will soon need to replenish stocks.

* Freight rates are expected to stay high well into 2022, they added.

* December white sugar LSUc1​​edged up 0.1% to $512.70 a tonne.

COFFEE

* November robusta coffee LRCc1rose0.4% to $2,134 a tonne.

* Robusta exports from Indonesia’s main coffee-producing province of Lampung fell nearly 70% in September.

* Exports of the bean have been hard hit this year by shipping backlogs, dealers said, but added the current April to March 2021/22 crop from Indonesia was expected to fall just 2% versus a year earlier.

* December arabica coffee KCc1rose 1.7% to$2.00 per lb.

COCOA

* December London cocoa LCCc1 ​​rose 0.9% to 1,891 pounds per tonne, having hit its highest since mid-March on Thursday.

* “Cocoa surged this week as heavy rainfall in the Ivory Coast sparked concerns it would (enable) the spread of Black Pod disease. Nevertheless, high stocks should help keep a lid on

prices for the rest of the year,” said Fitch Solutions.

* Ghana maintained the guaranteed price it pays to farmers at 10,560 cedis per tonne for the 2021/22 growing season beginning on Oct. 1, the Minister of Food and Agriculture said.

* December New York cocoa CCc1​​rose 1.6% to $2,693 a tonne.

(Reporting by Maytaal Angel, Editing by Louise Heavens and Nick Macfie)

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