Sugar fell in London and New York on signs of large supplies from top producers Brazil and India and weak demand. Cocoa slid. Sugar output in Brazil’s center south, the main growing region of the world’s biggest grower, will total 34.05 million metric tons in 2012-13, up from a previous forecast of 32.7 million tons, industry group Unica said Dec. 20. Sugar production in second-ranking India was 4.8 million tons from Oct. 1 through Dec. 15, the Indian Sugar Mills Association said. Weak demand for Brazilian sugar is reflected in discounts being offered for the sweetener, according to Archer Consulting. “We expect the third consecutive global surplus in 2012-13, amid stronger-than-expected production in Brazil and better-than-expected production from India, following concerns about the delayed and deficient monsoon rains, to continue to pressure the sugar market,� Kate Tang, an analyst at Barclays Plc in London, said in a report e-mailed Dec. 21. White, or refined, sugar for March delivery fell 0.1 percent to $517.90 a ton by 10:20 a.m. on NSYE Liffe in London. It fell 14 percent this year. Raw sugar for March delivery dropped 0.2 percent to 19.21 cents a pound on ICE Futures U.S. in New York. It lost 18 percent this year. “The existing statistical surplus has got bigger compared to what we all expecting by about 1 million tons,� Paul Bannister, head of sugar brokerage operations at Marex Spectron Group in London, wrote in a report dated today. He was commenting on the result of increased output in Brazil. Raw sugar from Brazil for loading this month was at a discount of 0.5 cent to 0.7 cent a pound to the price on ICE, Arnaldo Luiz Correa, a director at Sao Paulo-based Archer Consulting, said in a report e-mailed Dec. 22. Cocoa for March delivery fell 0.5 percent to 1,461 pounds ($2,366) a ton on NYSE Liffe. The commodity gained 5.9 percent this year. Cocoa for March delivery fell 0.4 percent to $2,304 a ton ICE. It’s up 9.3 percent this year. Robusta coffee for March delivery advanced 0.6 percent to $1,905 a ton in London, 5.4 percent higher this year. Arabica coffee for March delivery was down 0.1 percent to $1.4650 a pound in New York. It’s fallen 35 percent this year. To contact the reporter on this story: Isis Almeida in London at Ialmeida3@bloomberg.net To contact the editor responsible for this story: Claudia Carpenter at Ccarpenter2@bloomberg.net.

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