Sugar – sucrose is the generalized name for a class of chemically-related sweet-flavored substances, most of which used in food. Sugar is a carbohydrate that is present naturally in fruits and vegetables. All plants use a natural process called photosynthesis to turn sunlight into the nourishment they need for growth. Of all known plants, sugar is most highly concentrated in sugar beets and sugar cane.

Sugar is simply separated from the beet or cane plant, and the result is 99.95% pure sucrose (sugar). The sucrose from sugar beets and sugar cane is not only identical to one another, but each is the same as the sucrose present in fruits and vegetables. Sugar is more than a “fun” food ingredient; it’s an essential one as well. Because it’s all-natural.

As Nature’s preferred sweetener, sugar is present not only in nutrient-dense fruits and vegetables, but is also a key component in foods as diverse as whole grain breads and cereals, yogurts and tomato sauces.

The global sugar industry is one of the world’s oldest agriculturally-based industries, which is estimated to produce around 179 million tons of sugar in the 2011/12 international sugar season. Whilst many forces continually impact upon annual global production, a major sustainability feature of this industry is its historic and ongoing sugar consumption growth, which on average, increases by around 2% per annum.

Africa, with its favourable agronomic conditions, has significant potential to contribute towards the production needed to meet this growing demand. Illovo, as a world-class, low-cost, highly efficient sugar producer, operating in Africa, is well-placed to participate in this ongoing growth opportunity.

More than 100 countries produce sugar, about 78% of which is made from sugar cane grown primarily in the tropical and sub-tropical zones of the southern hemisphere, and the balance from sugar beet which is grown mainly in the temperate zones of the northern hemisphere.

Generally, the costs of producing sugar from sugar cane are lower than those in respect of processing sugar beets. Currently, 70% of the world’s sugar is consumed in the countries of origin, whilst the balance is traded on world markets. 

Production in the United States during 2013-14 is estimated at 8.1 million tons, down 90,000 from the previous year, on smaller sugar beet area and lower yields. Consumption which exceeds production continues to rise, while imports of nearly 3.1 million tons are estimated up over 130,000 tons. Stocks continue to expand at nearly 2.2 million tons, although any Commodity Credit Corporations disposals would lower them.