A rather interesting situation can be observed in Armenia’s sugar market. The new sugar refinery in Akhuryan has actually stopped operating because of the unsold sugar surplus, while Armenia’s neighbors lack the product.

Although the sugar price has fallen almost twice this year throughout the world, Armenian citizens have not felt it. One of the reasons is a high retail price for sugar in the country – 330 AMD (U.S. $.0.91) or about U.S. $916 per ton.

The recent drought affected sugar production in Russia and Ukraine – a 1.3 million ton decrease and a 500,000 ton decrease respectively.

Since the world’s largest sugar exporters, India and Brazil, do not promise “good news”, a fall in sugar prices should not be expected even after the New Year holidays.