Thai sugar producers squeezed by drought and health concerns

Beverage makers opt for less sweet drinks as consumers watch waistlines

20210715 Sugar cane harvest

Thai sugar production for the 2020-21 crop year is expected to be less than half the record-breaking harvest of the 2017-18 season. © Reuters

APORNRATH PHOONPHONGPHIPHAT, Nikkei staff writer

BANGKOK -- Thailand's sugar cane growers are some of the world's most productive, but they face two major challenges: a severe drought attributed to climate change and growing health consciousness among consumers.

According to the Thai Sugar Millers Corporation, an industry group, domestic sugar production for the 2020-21 crop year (November 2020 to October 2021) will be around 6.6 million tons, the lowest level in a decade and less than half the 14.7 million tons of sugar produced in the 2017-18 season, when Thailand had a record sugar cane harvest.

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