The SEPTEMBER 2015 RV price in respect of cane delivered in AUGUST 2015, was declared at R3 805.77 per ton. This represents a decrease of R20.51 compared with the previous price (cane delivered in July 2015). The decrease in the price is due mainly to the underperformance of local market sales, which resulted in a 35 143 ton reduction to the LMDE (1.589m tons vs. 1.624m tons).Other negative factors were the lower sugar:RV ratio (93.50% vs. 93.64%) and the lower world market weighted average No.11 price (15.03 USc/lb vs. 15.73 USc/lb.) Positive inputs to the price were the 14 227 ton reduction in sugar production (1.688m tons vs 1.702m tons) and the weaker R/$ exchange rate (13.64 vs. 12.77) but due to the relatively low export availability in the light of the current drought conditions in the industry, these were outweighed by the negative factors.
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