Sugar Under Pressure in Costa Rica

WASHINGTON - Apr 4/06 - SNS -- Sugar production in Costa Rica is expected to drop from last year's record 404,000 metric tons (MT) result to around 380,000 MT this season, according to a recent report from the U.S. agricultural attache for the country.

The drop in sugar output reflects a smaller cane harvest of 3,595,590 MT. Production in the 2005-06 year was negatively affected by excess moisture in the province of Guanacaste, where most of the sugar cane is grown. The forecast for 2006-07 is for slightly higher cane and sugar production, assuming rainfall patterns are normal during the rainy season.

Costa Rica's sugar cane production is concentrated in the pacific region, mainly in the province of Guanacaste. After a 14.3% increase in output during 2003-04, sugar cane production declined 3.9% to 3,804,648 MT during crop year 2004-05.

Cane production is expected to decline 5.5% during 2005-06 as a result of a stronger than usual rainy season in 2005, which negatively affected production areas in Guanacaste. After a record production level of 410,000 MT of sugar in 2004-05, sugar production is expected to reach 380,000 MT in 2005-06.

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