According to VSSA, the total sugar supply reached nearly 1.34 million tonnes in the past seven months, higher than 1.3 million for the whole year of 2023.
Weak demand for domestic sugar and the penetration of smuggled sugar have been dragging down sugar prices in Việt Nam, driving many producers into unprofitability.
The domestic sugar industry should restructure all stages of its production process towards diversifying products to improve competitiveness, according to the Ministry of Agriculture and Rural Development.
Low consumption, high inventory and continuously plunging prices mean tough times for domestic sugar mills, said chairman of the Viet Nam Sugarcane and Sugar Association (VSSA) Pham Quoc Doanh.
The Ministry of Agriculture and Rural Development (MARD) has proposed
to the Ministry of Industry and Trade that while allocating sugar import
quotas, priority should be accorded to factories which imported raw
sugar for refining amid an anticipated excess supply.
The domestic sugar industry is struggling to gain a balance between
supply and demand, after years of grappling with high inventories and
plunging oil prices.
The domestic sugar industry needs assistance as the sector is facing a
high inventory and threats from illegally-imported products, the Viet
Nam Sugar and Sugar Cane Association (VSSA) has suggested.
Domestic sugar producers are facing low prices, high stockpiles, and
illegal imports from China, said the Viet Nam Sugarcane and Sugar
Association (VSSA).