Beet Contract Cuts

Sugar beet growers will see their Contact Tonnage Entitlement (CTE) cut by 9% for the 2015 crop.  As we reported in July, British Sugar (BS) is struggling with high sugar stocks – a situation which is likely to be exacerbated when this year’s large crop is fully processed.  At the same time sugar markets are weak.  As well as resulting in a substantial price cut for 2015, BS was also looking for significantly less beet to be grown.  Various measures were offered to growers, and this resulted in 11% less beet being contracted for 2015.  However, BS was looking for a 20% reduction, and so the company is introducing an across-the-board cut of 9% in all growers’ remaining CTE.