White sugar fell the most in a year in London after the European Union announced plans to expand exports and India said it will have a surplus. The EU will allow an extra 350,000 metric tons of sugar exports in the 12 months ending in September, raising the limit for out-of-quota shipments to 1 million tons, the European Commission, the EU’s executive arm, said yesterday. Raw sugar futures fell 9 percent yesterday after the EU’s announcement. India may have a sugar surplus of 3.5 million tons this season, Farm Minister Sharad Pawar said yesterday. “The markets are falling on panic liquidation,” said Jonathan Kingsman, managing director of Lausanne, Switzerland-based sugar broker Kingsman SA. White, or refined, sugar for March delivery fell as much as $93.60, or 12 percent, to $675 a ton on NYSE Liffe, the biggest intraday drop for a most-active contract since April 16, 2009. It was down 6.7 percent at $717.50 a ton at 11:01 a.m. in London. Raw sugar for March delivery dropped another 3.8 percent to 28.52 cents a pound on ICE Futures U.S. in New York. Robusta coffee for January delivery fell in London for the third day, declining $41, or 2.1 percent, to $1,890 a ton on NYSE Liffe. Arabica coffee for December delivery dropped 0.6 percent to $2.0825 a pound on ICE. To contact the reporter on this story: Stephen Morris in London at smorris39@bloomberg.net. To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net.

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