The Central Bank of Armenia (CBA) has released its monetary policy program for the first quarter of 2011. The program contains forecasts about international prices.

The program indicates international sugar prices will be showing an upward tendency this year, which, in turn, will be caused by unprecedented global demand. The U.S. Department of Agriculture forecasts an output of 161.9 million tons of sugar for the marketing year of 2010/2011. With the forecast consumption being 158.9 million tons, the reserves are to total 26.5 million tons.

Political problems in the European Union (EU) and India, as well as the expected low yield in Brazil, may intensify tension in the market. As a result, the sugar prices will range within U.S. $0.38 per pound.

The current international sugar price is within U.S. $0.33. Late this January, the siguar price showed a 10% rise in Yerevan.