ARTICLE 3 #Sugar Industry

Sugar prices have fallen over the past three months and posted 4-year nearest-futures lows last Wednesday due to expectations of a global sugar surplus. On May 22, the USDA, in its biannual report, projected that global 2025/26 sugar production would increase by +4.7% year-over-year (y/y) to a record 189.318 million metric tons (MMT), with a global sugar surplus of 41.188 MMT, up 7.5% year-over-year.

The Ministry of Transport (MOT) has announced plans to seek a 10-year extension of the land lease for Malaysia Holdings Berhad’s (MSM) sugar refinery located in Perai. The refinery operates on land owned by the Railway Assets Corporation (RAC), and the proposed extension aims to provide MSM with ample time to plan its long-term operations without the risk of immediate closure or relocation.