The most advanced sugar mills in the world, Brazilian sugar mills are leaders in sugar production technology. Producing vast amounts of VHP raw sugar every year, (over 35 million tons is forecast for 2008) as well as lesser quantities of ICUMSA 150 and still smaller quantities of ICUMSA 45, Brazilian sugar mills have earned a stellar reputation for consistently producing the sugar that has made Brazil both the world’s largest producer and exporter of sugar.

As demand for sugar and sugar cane products grows, so too are Brazilian sugar mills growing in number and size. 2005 saw Brazil dotted with three hundred and twenty mills about the Sao Paulo, Pernambuco, and Algolas regions. At the time it was forecast that by the year 2015 there would be at least five hundred sugar mills in Brazil. This plan has been somewhat stymied by the governing body of the Sao Paulo region refusing to grant any further permits for new sugar mills in May of 2008 due to ecological and environmental concerns, but that is not stopping existing sugar mills from growing at impressive speeds, and some sugar mills have more than doubled in size since their inception. Sugar mills also continue to be built in the northern regions of Pernambuco and Algolas, the historical home of the Brazilian sugar mill.

The main product of Brazilian sugar mills is VHP sugar. Invented by the Brazilians in 1993, VHP sugar is a high pol raw sugar, which means that it has a sucrose content of more than 99.4%. This type of sugar is preferable to other raw sugars as it requires much less refining, and is of a higher quality than traditional raw sugar. Brazilian VHP raw sugar is exported to countries all around the world to undergo refining into the ICUMSA 45 sugar which has become a global standard. The bulk of these mills are in the United States of America. Some Brazilian mills do refine raw sugar juice into ICUMSA 150, or sometimes ICUMSA 45, but this is done on a much smaller scale.

Brazil’s strength as a sugar producing nation first emerged because of the vast amount of cultivatable land that Brazil possessed. It was simply possible to grow and mill more sugar than other countries because there was more space to do it. As the Brazilian sugar industry has evolved however, innovation and research are the two key factors that have kept Brazilian sugar mills at the top of the industry.

Brazil takes sugar cane very seriously, and a great deal of research has been done into the properties of sugar cane and developing new strains of sugar cane, selecting for traits such as a high sucrose yield, being able to grow in conditions which would be toxic to normal strains of sugar cane, and growing more strongly for successive generations, to name a few. There are currently over three hundred strains of sugar cane in use in Brazil, a number which dwarfs the varieties of sugar cane grown in most other sugar cane growing nations. Brazil even made use of modern gene sequencing techniques to map the sugar cane genome, an act which demonstrates very aptly just how serious the Brazilian sugar industry is when it comes to knowing their business.

This approach has paid off as other countries have seen the profitability of sugar and joined the market in hot pursuit of Brazil’s title. India is a good example of just such a country. A large nation with a great deal of land, India has risen up the ranks of sugar producing nations with great speed. However India does not yet have the same emphasis on the development of either sugar cane strains to suit their conditions, or processes which would optimize the processing and refining of sugar from sugar cane. For this reason Indian sugar production has fallen behind Brazil in recent years, though India is still a very strong player in the global sugar industry.

Brazilian sugar mills are not simply places where cane is crushed and pounded, and the sugar juice refined or processed, they are also locations for some of the most advanced research in the field. Every major mill has a team of scientists in house. These scientists monitor production and ensure that processes are efficient, but they also spend time researching new methods of sugar cane growth and sugar production.

A Brazilian sugar mill is a highly efficient machine, and nowadays, very little is wasted. Almost every element of the sugar producing process is recycled in some form, from the solid cane fiber, known as Bagasse, which is used to power the mill, and generates enough electricity when burned not only to power most sugar mills, but to also supply energy for sale on the national grid, to the water which is used to clean the sugar cane when it is brought in from the fields.

When sugar cane is first brought to the mill, it is loaded onto washing racks and sprayed to remove dirt, insects, and other unwanted contaminants. This water is collected after use and is channeled back to a pond, where the dirt from the cane sediments to the bottom of the pond, and is then collected for use as fertilizer on other sugar cane crops. This is a level of recycling which is unprecedented in almost any industry, let alone the sugar industry.

In addition to processing sugar, many Brazilian sugar mills also now boast sugar ethanol production facilities on site. Sugar ethanol is part of a new wave of bio fuel which is in high demand globally, and Brazilian sugar mills have wasted no time in adapting production lines and building new structures to exploit this fact. Brazil also claims world leader status in the use of bio fuels, with an estimated 45% of its power being sourced from renewable non petroleum sources every year. 15% of this energy comes from sugar ethanol.

Because global demand for sugar grows yearly, and because demand for bio fuel is likely to rise exponentially in the coming years, Brazilian sugar mills are in a very strong position heading into the future. Investment and interest in Brazilian sugar mills has never been higher, and as more money is invested into Brazilian sugar mills, we can expect to see more exciting developments coming out of those mills in the future, developments that will not only boost sugar production, but also provide the world with techniques for doing so in a sustainable and environmentally friendly fashion.

Buy Sugar directly from the Mills

We source sugar for our clients directly from the Brazilian Sugar Mills. Please contact us with your specific requirements and we will get back to your with current availability and price quotation within a few hours

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Brazil is the world leader in sugar exports, a position it has held for several decades, and one that it does not seem to be relinquishing any time soon. In fact, Brazil’s sugar exports are increasing yearly, and Brazil is set to export over 20 million tons of sugar in 2008, more than five times the amount of any other country in the world.

Brazil’s sugar successes are due to many factors. With a sugar industry that is almost 500 years old, Brazil certainly has plenty of experience in the arts of growing, processing, and refining sugar. Some of Brazil’s success can be attributed to the geographic features of the country. Brazil is a very large country with vast swathes of cultivatable land, and a climate suited to sugar cane growing. Much of the Sao Paulo region of Brazil in the center south of the country has now been turned over to the production of sugar cane because its large flat fields are ideal for growing sugar cane.

That is only part of the formula of Brazil’s sugar success however. Not content to rest on its environmental laurels, Brazil strives constantly to improve the way it grows and processes sugar cane. There are currently over sixty strains of Brazilian sugar cane in Brazil, the bulk of which have been developed over the years by Brazilian sugar scientists. Compare this with the six strains of sugar cane commonly used in Thailand, the world’s second largest sugar exporting country, and it is easy to see the extra resources which have been invested in the Brazilian sugar industry.

The various strains of sugar cane are designed to adapt to different growing conditions and also to provide optimal material for processing. For example, there are special high sucrose strains of sugar cane which yield much more sucrose per cane than typical sugar cane, and then there are other strains of sugar cane that can survive and thrive in conditions that normal sugar cane could not withstand, such as particularly dry, non fertile, or hard soil. The Brazilians have even gone so far as to sequence the sugar cane genome, so dedicated are they to fully understanding their business, and the plant that underlies the multi billion dollar industry.

Brazil’s sugar mills and refineries are also models of efficiency. Most major mills spend thousands of dollars a year, if not millions, monitoring efficiency and ensuring that unnecessary costs are not incurred. Water, sugar cane fiber, even pieces of dirt are all recycled and reused in Brazilian sugar mills. This has paid great dividends for the industry as a whole, and Brazil’s sugar mills and refineries are now the most efficient in the world.

Brazilian Sugar Prices

Sugar buyers will be pleased to learn that 2008 is likely to be one of the lowest years in recent history with regards to sugar prices. Currently sitting at 12.5 cents US per pound, sugar prices are dipping due in most part to exceptional production in Brazil, India, and Thailand. This comes at the same time as many costs associated with production and transport are rising markedly, putting a squeeze on the Brazilian sugar economy. Fortunately for Brazil, sugar ethanol, another product of sugar cane, is in exceptionally high demand as a bio fuel. Brazil currently uses sugar ethanol to provide around 15% of its energy needs, and other countries are keen to follow its lead as fossil fuel prices rise due to conflicts in the Middle Eastern regions and a gradual dwindling of the world’s oil reserves. Many Brazilian sugar mills and refineries now co produce both sugar and sugar ethanol, which means that they have a buffer against fluctuations in either market.

Types of Brazilian Sugar For Export

Brazil exports large amounts of VHP raw sugar, in fact VHP makes up the bulk of Brazilian exports. VHP is very high pol sugar, a term that means that the sugar has a high sucrose level. VHP sugar is 99.4% sucrose. Invented by Brazilians in 1993, VHP sugar quickly became the world’s most popular sugar export. Unlike other forms of raw sugar, VHP contains relatively few contaminants and is easier and quicker to refine than traditional raw sugar.

Aside from VHP sugar, Brazil also exports refined sugars from ICUMSA 150 to ICUMSA 45. Large quantities of ICUMSA 45 especially are relatively rare, as Brazil has largely based its sugar export industry on the export of raw sugar which is then refined in the destination country at the buyer’s expense.

Buying Brazil Sugar Exports

It is advised that if one is seeking to purchase refined sugar direct from Brazil, one makes the purchase as far ahead of time as possible, and allows for relatively small monthly shipments to be made until the full amount of the purchase can be fulfilled. Purchasing VHP raw sugar is much the same proposition, although Brazilian VHP sugar is more plentiful and larger shipments may be obtained relatively easily.

The bulk of Brazilian sugar is sold on the futures market, sometimes up to three years ahead of production. This means that in any given year, the bulk of sugar produced has already been sold. People looking to purchase sugar need to be aware of this. These are two ways to break into the sugar market. One way is to purchase surplus supplies, something which should not be too difficult in 2008, a year for which a global surplus of 11 million tons of sugar has been forecast, and another way is to sign a deal with a sugar seller for multiple deliveries taking place over the course of months or years. This is generally a satisfactory arrangement for both buyer and seller, as most buyers do not really need mountains of sugar all at one time, rather they seek a constant supply of sugar for their own operations.

Most Brazilian sugar is sold under a CIF agreement, CIF being an acronym which stands for cost insured freight. The seller covers the cost of freight and insurance to the destination country. It is also standard practice for the seller to organize and pay for SGS inspectors to inspect the sugar at the port of departure before the shipment sails and confirm its quality, quantity, and that it matches the description on the sales sheet.

For more information on sugar purchasing procedures, please see the related articles on this site which cover all aspects of sugar trading comprehensively.

How to get started?

We export sugar directly from Brazilian sugar mills. Please contact us with your detailed requirements and we will get back to you with instructions on how to proceed

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A by product of the sugar refining process, molasses has been a sought after product in its own right for many decades. This dark brown thick, highly viscous and sweet liquid which can be used as animal feed, as a base material for alcohol production, Rum especially, or in baking.

There are different types of molasses which are the result of different stages in the sugar refining process, and there are also different types of molasses extracted from sugar cane and sugar beet. Sugar cane molasses is the most common type of molasses and comes in three grades, Mild, Dark, and Blackstrap.

Sugar cane molasses can be either sulphured or unsulphered. Sulphered molasses is made from young sugar cane to which sulphur has been added as a preservative. More mature sugar cane does not require the addition of preservation agents.

Mild Molasses

Also known as first molasses, mild molasses is the result of the first stage of the sugar refining process where cane juice is boiled and the sugar crystal removed. First molasses is still very sweet as much of the sucrose content remains behind in it.

Dark Molasses

Also known as second molasses, dark molasses is the product of a second boiling. This type of molasses is not as sweet as mild molasses, and has a bitter taste.

Blackstrap Molasses

This type of molasses is created from the third boiling. It is a very dark color and contains less sugar than mild and dark molasses, but still has a high sugar content. In addition to this sugar content it also contains many vitamins and minerals which are missing from refined sugars. Blackstrap Molasses is said to contain iron, potassium, magnesium, and calcium, and just a single teaspoon of this food can provide up to twenty percent of an adults daily requirements of these minerals.

According to health experts, Blackstrap Molasses promotes regular bowel movements, is an excellent source of iron for pregnant women and vegetarians, and can be used as a substitute in drinks and baking.

Sugar Beet Molasses

Molasses which is extracted from sugar beet rather than sugar cane, sugar beet molasses lacks many of the positive attributes of sugar cane molasses. It is around fifty percent sugar, but it also contains high amounts of various naturally occurring salts, which make it unsuitable for human consumption. It is sometimes added to animal feedstock.

Molasses Source

Please contact us and let us know your detailed requirements. We will get back to you with available supply and molasses price quotation.

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We are happy to provide a soft quote upon your request. In order for us to provide a soft quote, we need the details of the order that you would like a quote for. Specifically, we need to know the grade and type of sugar you are seeking to purchase, the amount of sugar you require, the intended destination of the shipment, and your preferred form of payment.

What Is The Best Form Of Payment?

The preferred form of payment is a Bank Guarantee (BG), as this provides the most protection for the seller. Other types of acceptable forms of payment include a Fully Funded Documentary Letter of Credit (FFDLC), or a Standby Letter of Credit (SBLC). In all cases, the financial instrument must be issued or confirmed by a major world bank, (one of the ‘Top 25′ world banks), be transferable, divisible, 100% payable on sight, and irrevocable. If you are seeking to purchase a large amount of sugar to be sent over several shipments, the financial instrument should also be revolving.

What Forms Of Payment Are Not Acceptable?

Revocable or non transferable Letters of Credit are both unacceptable forms of payment.

When Do I Need To Pay For The Shipment?

Payment is made at the time of shipping. Deferred payment is not possible.

What Documentation Do I Need?

There are several stages to purchasing sugar, and differing documentation is needed at each stage. The soft quote is the first documentation you will receive. If you decide that you would like to proceed and purchase sugar from the seller, then you must sign a NCND (Non Circumvention Non Disclosure Agreement). This agreement protects both the privacy of the buyer and the seller throughout the trade. When this document has been signed, the next piece of documentation required is the Letter of Intent, or LOI. This is a document sent from the buyer to the seller indicating their intent to purchase sugar. This document should be accompanied by a Bank Comfort Letter, or BCL from the buyer’s bank. Included in the LOI are the buyer’s bank details, and authorization for the seller to conduct a soft probe of the buyer’s accounts. Once this documentation has been received, and the probe successfully conducted, the seller will issue a Firm Corporate Offer (FCO) to the buyer.

Can I Send An Old Letter of Intent?

No. The Letter of Intent can be no older than ten days old at the time it is received by the seller. The Letter of Intent represents the buyer’s recent interest in purchasing sugar, and for this reason it cannot be an old letter.

Do I Have To Supply My Bank Details?

Yes. The seller requires the buyer’s bank details in order to conduct a soft probe of their accounts and ensure that there are funds in place to cover the full contract price of the sugar the buyer is wishing to purchase. This is a common procedure for most sellers, who must satisfy themselves that there is a viable sale to be made before proceeding further with a sale. Because the seller will incur freight costs as well as the costs of preparing the sugar for transport, not to mention the fact that payment is only received once the sugar has been shipped, it is essential that they are satisfied of the ability of the buyer to pay for the shipment.

How Can I Get A FCO Fast?

Many buyers understandably wish to receive a FCO, or Firm Corporate Offer, quickly. However before the seller will issue a firm corporate offer, the Letter of Intent and Bank Comfort Letter must be received, and the soft probe conducted. If you wish to obtain a Firm Corporate Offer quickly, attention should be paid to ensuring that all documentation is correct and in order before it is sent to the seller. This is the simplest way of expediting the process, as mismatched letter heads, incorrect dates, and incorrect details can cause extensive delays.

Is It Possible To View SGS Reports Before Sending The Letter of Intent?

No. SGS reports are not available in advance of sending the Letter of Intent. If you are concerned with verifying the product’s existence and quality, the time for this to be addressed is when the seller approaches the buyer’s bank for a Proof of Funds (PoF). The buyer’s bank will then request a Proof of Product (PoP) to satisfy itself of the product’s existence. This is handled Bank to Bank and does not require action on the part of the seller or the buyer.

Is It Possible To View The Sugar Before Purchase?

No. Unlike other products, sugar is very rarely found sitting in a warehouse waiting to be sold. Most contracts are sold on sugar that is yet to be refined. The seller will have a contract with the refinery in order to guarantee the supply of sugar to the buyer, but it is not possible to view the sugar itself. In the case of very large orders which are shipped over several months, it is even possible that the cane from which the sugar will be extracted and refined has yet to be harvested at the time that the sugar is purchased.

I Would Like To Order A Trial Shipment. Is This Possible?

You are free to order the shipment size that you are comfortable with. However buyers must be aware that the seller will not regard any shipment as a trial shipment, and will not reserve unsold sugar for a buyer on the basis of a successful trial.

Who Pays For SGS Inspections? Where Will The Sugar Be Inspected?

It is up to the seller to organize for the sugar to undergo SGS inspection. The seller bears the cost for this, and the inspections are carried out at the port of departure.

What Is The Standard Shipping And Payment Procedure?

The seller will ready the product for shipping, secure a carrier, and organize inspection of the sugar before it departs the port. The inspections are carried out by qualified parties, the sugar is cleared for shipping, and subsequently loaded aboard a carrier. Once the vessel departs, the seller is then to be paid in full for the shipment.

Can I Specify My Own Procedure For Shipping and Payment?

No. The standard procedure is widely regarded as being the optimal arrangement which shares risk equally between the buyer and the seller. For this reason, deviations from the standard procedure are very rarely agreed to by the seller.

How Are Broker Commissions Calculated?

A broker fee of one dollar per pound is included in the soft quote supplied by the seller. Brokers who wish to receive a higher commission will need to add this to the per pound price. Please note that all commissions are shared evenly between the seller and the broker, so it will be necessary to double the extra commission charged. For example, if a broker wishes to receive two dollars per pound, then four dollars will need to be added to the per pound price.

Can You Sell Me Millions Of Tons Of Sugar?

Yes we can. Because the investment needed in order to purchase several million tons of sugar is so extremely high, such sales are rare. If you can provide Proof of Funds and a Bank Guarantee from a ‘Top 25′ major world bank to cover the full contract price of the sugar, it may be possible to accommodate large purchases.

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High Seas Trading - what is it?

In short High Sea sale is when the cargo is already loaded on a ship and sailing on the high seas (international waters, under no jurisdiction) without actually being sold to the final buyer yet. Seller is looking for a buyer, while shipmenet is on the way. Once the cargo is sold, the captain of the vessel is notified to change course and deliver it to the new buyer’s port. Usually the ship is sailing in a certain direction (example: from Brazil to Middle East). Seller is looking for buyers in destination area (which in this example can be any Middle Eastern country, India, Pakistan, etc..)

What is the reason for selling on High Seas?

High Sea sale is done to avoid the burden of Local Sales Tax or VAT which would otherwise have to be paid by the final buyer if the cargo was first bought by the importer and then re-sold to the final buyer. What High Sea Sale does, is put the final buyer in the possition of direct importer thus saving him an aditional tax. For that reason, goods bought on the high seas, while the ship is in international waters are between 25% - 5% cheaper for the final buyer (depends on the Local Sales Tax / VAT rate in buyer’s country).

Is High Sea Trading Legal?

“High seas sale” sounds like something done hush-hush in the middle of the ocean like we see in the movies. Which is why you have instinctively raised doubts about its authenticity and legality. Let me assure you, “high seas sale” is a perfectly legal transaction though the term might have a mysterious ring to it. High sea sale is simply turning the final buyer into direct importer, and thus saving on the Sales Tax / VAT which would have to be paid on the re-sale if the importer was involved as a middle man.

Example of sale on the High Seas

Suppose a Candy producer in India needs raw sugar which, if imported, would be more economical for him. But he cannot directly import, as the volumes simply do not justify such direct effort. He, therefore, decides to buy it from a sugar trading company in this country whose main business is import/export of raw sugar.

Suppose further that the trading company is in Mumbai where it normally unloads the imported sugar. The candy producer will now have to pay Sales Tax, as the transaction is between two companies (Sugar trading company and Candy producer). You may note that the Sugar trading company has already paid the import duty on the sugar from Brazil. “High seas sale” enables one to avoid the second dose of taxes. In this example, the Candy producer could have approached the Sugar trading company much before the goods reached the Mumbai port. In other words, the Sugar trading company could have sold the sugar to the Candy producer while the goods were still at “high seas”. This is possible by suitable endorsement to the document of title to the goods.

Because the sugar was sold in high seas, the Candy producer becomes the importer. He now has to pay the Customs duty (which he would have to pay in any case even if he bought the sugar from the Sugar trading company after the cargo has landed in Mumbai) because the Sugar trading company would have passed on the duty liability to him. But now the Candy producer does not have to pay the Local Sales tax / VAT because the movement of sugar from Mumbai to Delhi is not seen as a sale but rather as simple transport from one location to another by the same owner (the Candy producer) without involving any sale. The purpose of the whole procedure, therefore, is to get rid of the final sales tax / VAT liability. It does not matter if the trading company and final buyer are in the same country, what matters is that the final buyer also becomes the importer and does not have to buy the imported sugar locally.

We trade Sugar on the High Seas

Please contact us for information about currently available shipments of Sugar on the High Seas. We will get back to you within a few hours.

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Brazil produces about 2 million metric tons of Icumsa 45, and over 6 million metric tons of Icumsa 150 and almost 20 million of VHP (Very high pol sugar - raw sugar with a pol of not less than 99.3) and VVHP.

Unless your receiving port’s distribution is good, we would suggest to our clients to start with 20FT containers before moving to vessel-size loads. A 20 foot container can hold 540 bags (27 metric tons). But, some ports have restriction on the weight, so please check with your port first.

For clients who wants to buy in vessel loads, the standard vessel size is 14.000 metric tons, however, our Brazilian suppliers contract at a minimum capacity of 12.500 metric tons. Booking 14.000 mt would be more economical.

We work closely with Brazilian Sugar Cane growers and refineries. The sugar which we supply comes directly from the producer who owns 3 refineries in Brazil. We are the agent/mandate of the producer.

Available quantities of Sugar from Brazil:

• 3.000.000 metric tons of Icumsa 45
• 4.500.000 metric tons of Icumsa 150

Long term contracts available:

• 20 month contract available for 1.000.000 tons of icumsa 45 (50,000 metric tons per month x 20)
• 5 year contract available for 3.000.000 tons of icumsa 45 (50,000 metric tons per month x 60)

Brazilian Sugar prices:

You are welcome to contact us. Let us know your specific requirements and we will get back to you with a price quotation shortly.

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Barbados Sugar – A rich, moist and attractive dark brown sugar with a rather strong taste of molasses.

Brown Sugar – A generic term used to refer to a wide range of sugars including treated refined sugars, raw sugars, and organic sugars.

Beet Sugar - Sugar which is extracted from the sugar beet plant.

Candy Sugar – This term refers to large white sugar crystals which are grown from sugar which is highly refined.

Cane Sugar – Sugar extracted from sugar cane.

Castor Sugar – Sugar that is formed of very fine particles that can easily be dissolved in baking or cooking. Not to be confused with Icing Sugar or Powdered Sugar.

Chinese Sugar – Also sometimes known as rock sugar, this is sugar that is sold in large crystallized lumps. There are two main varieties of Chinese sugar, one with golden tones to it, and another that is opaque and white.

Coarse Sugar – A term referring to sugar in which the grains are larger than common sugar. These large grains have a wide range of food applications, perhaps most notably in decorative baking.

Coconut Sugar – Also known as Palm Sugar, Coconut Sugar is extracted from the sap of the Palm tree. It is an attractive golden brown color, and comes in a variety of textures, from gooey soft to hard, depending on the processing it has undergone.

Coffee Sugar – Specially treated sugar with a light syrup layer over the sugar crystal which imparts a unique flavor when used in coffee beverages. This is a dark brown sugar which contains much of the natural vitamins and minerals from whence it came.

Corn Sugar – This is another term for Dextrose.

Date Sugar – Whilst not technically a sugar, date sugar is produced by grinding up dried dates. The result is a highly nutritious, and sweet powder which is often used in baking and other recipes. The plus side of Date Sugar is that it contains iron, fiber, and many other minerals and vitamins. The downside is that it is expensive, and does not dissolve in water.

Demerara Sugar - A coarse golden brown sugar which is harvested from Mauritius, the sugar crystals retain a fine layer of syrup that imparts the flavor of molasses to other ingredients when it is used in baking or cooking.

Dextrose – A glucose sugar refined from cornstarch. Most often used in animal feed and pet food.

Foots Sugar - A dark brown sugar with a high liquid content and very syrupy, viscous nature.

Fructose - A natural sugar found in fruits, berries, melons, and even some vegetables. This is the
sweetest of all the natural sugars. Fructose is destroyed when sucrose (white table sugar) is being refined from raw sugars, which often contain some fructose before refining begins. Fructose is normally commercially produced by enzymatic hydrolysis from starch.

Fruit Sugar – Another term for fructose.

Gelating Sugar - This is a blend of standard granulated sugar and pectin. It acts as a gelling agent in some foods, and is commonly used for making jelly.

Glucose – A natural sugar, glucose is produced by many plants during the process of photosynthesis, and is also produced by conversion of other non carbohydrate intermediates inside the liver and kidneys of many animals, including humans. Commercially it is produced by enzymatic hydrolysis of starches. Some examples of sources of starch from which glucose can be produced are potatoes and maize, but there are many others.

Granulated Sugar – Sugar in granule form. Most refined sugar comes in granulated form because sugar crystals grow in a fashion that lends itself to granulation, and granules naturally pack down well for transport. They are also, generally speaking, easier to handle for consumers than lumps of sugar which must be broken down in order to be used.

Grape Sugar – Another word for glucose.

Sucrose - Also known as table sugar, white sugar, or refined sugar, sucrose is the most commonly traded sugar on the market today. Refined from sugar beet and sugar cane, sucrose is an easily digested micro nutrient that provides a quick rush of energy to the human body. In its most refined form it is a sparkling white, free flowing, odorless sweetener.

Icing Sugar - This is powdered sugar, generally ground down from ICUMSA 45 refined sugar.

Invert Sugar – Sugar that is 50% glucose and 50% fructose.

Jaggery - Unrefined cane sugar very high in minerals, and regarded as being a healthy alternative to refined sugar. It is organic, having no chemicals added to it at any stage of its production, and is even regarded by many as being a medicinal sugar. It is said of Jaggery that consuming it helps with ailments such as indigestion, coughing, and constipation.

Starch Sugar – Sugar derived from starch. See Glucose and Fructose.

Java Sugar - See Coconut Sugar.

Maltose - A rare natural sugar.

Malt Sugar – Same as Maltose.

Milk Sugar – Same as Lactose.

Lactose – A natural sugar found in milk. Causes many allergy problems in humans and other animals who may be unable to process it. Humans and animals with this affliction are called “lactose intolerant.”

Molasses – Thick, sweet, viscous liquid which is added to refined sugar to make brown sugar. Molasses is a by product of sucrose production that has many uses in its own right, as animal feed, for instance, or as a means of darkening refined sugar to make it appear brown.

Organic Sugar – Sugar grown without any chemical interference and without chemical refining.

Panela / Panocha / Piloncillo – This is sugar that is partially refined from Mexican cane. It is regarded by some as being more healthy because it retains much of the organic matter from which it was extracted, including some vitamins and minerals.

Palm Sugar – See Coconut Sugar.

Raw Sugar - Sugar which has undergone no refining whatsoever.

Refined Sugar – Sugar which has undergone refining processes including some or all of the following: Affination, Carbonization, Phosphation, Boiling,

Rock Sugar – Sugar formed into rocks by dipping string into a refined sugar solution and allowing crystals to form around it. Also sometimes known as Rock Candy.

Sanding Sugar – Another term for Coarse Sugar.

Sugar Loaf – Refers to a lump of refined sugar formed into a cone shape.

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ASWP - An acronym standing for the term ‘Any Safe World Port’, which is used to indicate that delivery can be made to any safe port that the buyer designates. These are the biggest and popular ports.

BCL – Bank Capability Letter, or alternately Bank Comfort Letter. This is a letter issued to the seller by the buyer originating from the buyer’s bank which indicates that the seller is able to cover the total cost of purchasing the sugar.

CIF – Cost Insured Freight. Sugar sold with a CIF agreement is insured by the seller on behalf of the buyer, and the freight of the sugar is included in the total cost. This coverage is in place from the time of leaving the buyer’s hands, during the entire length of transport until such time as the sugar arrives in port.

Ocean Bill Of Lading – This is the contract that sets out the terms of transport between an international carrier and an exporter. The contract is generally set out by the international carrier and issued when the shipment has been received and is on board a vessel. The bill of lading stipulates which vessel the shipment is aboard, and the destination of said vessel. It also states any additional terms and conditions under which the international carrier has accepted the shipment for transport.

The ocean bill of lading comes in two forms and can be either negotiable or non negotiable.

Non negotiable bills of lading are the simplest form, and are comprised of an agreement for the carrier to deliver the named shipment to a specific consignee at a specific destination, both of which are named in the bill of lading, pending payment of transport fees.

Negotiable bills of lading are somewhat more fluid, and the destination and consignee can be changed by the shipper. Negotiable bills of lading are normally required when payment is being made via banking channels using, for example, a letter of credit or documentary collection.

Draft Contract - As the title suggests, a draft contract is a preliminary contract that is sent from the seller to the buyer and is subject to the buyer’s consideration.

Formal Contract - Following on from the draft contract, the formal contract is the final contract where both parties have agreed upon the terms.

(LOI) Letter Of Intent / (ICPO) Irrevocable Corporate Purchase Order -These are documents outlining the intended transaction between the buyer and the seller.

Prime Bank - A now outmoded term which describes an international bank that is well known and has good standing (Barclays, HSBC, etc). Now often called ‘money center’ banks.

Proforma Invoice - A proforma invoice is a quote that can be verified by an existing published price list which facilitates prepayment. This document is of use to corporate buyers who will need to consult with accounting departments in order to obtain prepayment for goods. The invoice contains details of the intended sale including specifics such as the intended date of shipping, quantities, price, and destination port. This invoice is generally effective for a period of sixty (60) days.

SGS Inspection - This is an inspection carried out by SGS, who are widely regarded as being the best inspection company in the world. SGS offers many services, including inspections, testing, and certification. Buyers normally prefer to have sugar inspected, tested and certified by SGS prior to purchase as a means of verifying the quality of the product they will receive.

Letter Of Credit (LC) - A letter of credit is a legal document which is issued by the buyer’s bank which allows payment to be made with the presentation of stipulated documentation. This letter is a guarantee from the buyer’s bank that payment will be made upon receipt of proof that terms and conditions of trade have been met. Making payment by letter of credit affords protection for both seller and buyer, as goods must be shipped before payment is made by the buyer, and as long as the shipment is sent according to the terms of trade, then payment will be made to the seller.
There are many different types of letters of credit, as laid out below.

Irrevocable Confirmed Letter Of Credit - This letter of credit is one in which the issuing bank is also confirmed by another supporting bank. This provides peace of mind for the seller in the case of dealing with buyers from countries with banking systems that are unstable , untrustworthy, or simply not familiar to the seller.

Revolving Letter Of Credit - This type of letter of credit allows for multiple payments to be made over a period of time, and is useful if regular shipments are to be made.

(PB) Performance Bond – A performance bond is a guarantee issued by the seller’s insurance company which states that the seller will meet its commitments and supply sugar according to the trade agreement. This provides protection to buyers relying upon a seller, and reduces the possibility of sugar fraud.

Standby Letter Of Credit - A letter of credit that guarantees payment in the case of the buyer defaulting on the purchase.

Transferable Letter Of Credit - A transferable letter of credit allows the beneficiary of the letter of credit (the seller) to assign some or all of the proceeds to another party. This is often used by sellers to pay their suppliers.

 Back to Back Letter of Credit - This type of Letter of Credit is used when a seller has to purchase a component or outsource part of the manufacture of a product, but may not have the cash flow to do so.

In this case, the seller applies to his bank for a letter of credit, identical to the original Letter of Credit he received from the Buyer, except that it is for a lower value. This second letter of credit, called a “Back to Back LC”, is sent to the subcontractor’s bank and therefore the subcontractor knows that he will be paid and can proceed with his part of the transaction - supplying components or service to the original seller.

Deed of Assignment – A provision in the letter of credit where the seller assigns some of the proceeds of the letter of credit to a third part.

MT799 - (SWIFT MT799) is a simple text message, sent from buyer’s bank to seller’s bank. This is used for a bank to bank POF (Proof of Funds), only. The Swift MT799 is not a form of payment and it is not a bank undertaking or promise to pay. It is simply a bank to bank confirmation of the funds on deposit. Buyer uses it to prove to the seler that he has enough funds for the purchase.

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Farmers in Brazil are world’s biggest producer of Sugar-cane today. They are growing better yielding strains of the tropical plant and expanding crop areas as demand for sweetener and ethanol increases. Above-average rains in recent months have also helped boost yields for the year 2008.

Brazilian output of sugar-cane (which is used for sweeteners and ethanol) will rise as much as 22 percent from 2007 year’s record because of increased planting and as rains and new technologies boost crop yields, the government said.

Brazilian sugar mills will crush 558.1 million to 579.8 million tons of cane this year, up from 475.1 million tons last year. Total output, including sugar cane used to make alcohol and animal feed, will rise to between 607.8 million and 631.5 million metric tons, compared with 549.9 million tons last year.

The main reasons for this growth are good weather and planting of more productive varieties of sugar cane. The crop increase is also due to new growing areas. Sugar cane planting for April - November crop grew 11 percent to 7.8 million hectares (19.3 million acres).

Sugar production by Brazilian mills will rise as much as 12% to between 33.9 million and 35.2 million of metric tons in year 2008. As contrast in year 2007 the production was  31.3 million tons.

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Ash
There are two types of ash commonly referred to in sugar production.

Carbonated ash: This is the ash residue which remains after burning at 650 degrees Celsius.
Sulphated ash: The ash residue from a sample treated with sulphuric acid which remains after burning at 650 degrees Celsius.

Attenuation Index
This is part of the ICUMSA sugar rating process, and refers to how much light absorbance a solution has. It is tested at a specific wavelength, and expressed in terms of that wavelength.

Bagacillo
Little bagasse particles removed from pre-clarification juices or final bagasse.

Bagasse
After sugar cane is crushed, there is a residue left behind, this is referred to as bagasse. There are various types of bagasse, obtained after various stages in the milling, diffusing, and dewatering stages of sugar production. Bagasse obtained after the first mill is called first mill bagasse, and depending on how many milling stages the sugar cane goes through, there may be second mill bagasse, third mill bagasse, etc. Post diffusion stage, the bagasse is known as diffuser bagasse, and the very last type of bagasse is made after the dewatering stage is known just as bagasse, or some people may refer to it as final bagasse.

Bagasse Extract
Bagasse is a liquid fraction which is decanted from the bagasse after it has been blended with water in the cold digester.

Boiling House
Where juices are taken after carbonization or phosphorization to be boiled down.

Boiling House Recovery
A percentage ratio describing how much pol is recovered in the form of sugar from the mixed juice.

Brix
This refers to a measurement of the ratio of the mass of dissolved sugar to the mass of water in an aqueous solution.

Brix-Free Water
Brix-Free water is water that is present in cane and bagasse, but which is not available for the dissolving of sucrose in the cane. It is estimated that on dry cane fiber, there is approximately 25% brix-free water. This water is generally removed by heating the fiber and evaporating it away.

Bulk Density
Simply a measurement of how dense a material is.

Cane to Sugar Ratio
A measurement which describes how many tons of cane are required to produce one ton of sugar.

Cold Digester
A piece of equipment which disintegrates cane or bagasse in water to create a homogenous solution. Used for analytical proceedures.

Crystal Content
A measurement describing the mass of crystalline sugar present in a liquid.

Cush-Cush
This is the material that is removed from the mill juice when it is strained.

DAC Extract
Is the liquid fraction that is decanted from the cane once it has been blended with water in the cold digester

DAC Factors
There are two types of DAC factor.

Brix Factor: This is the percentage ratio of the total brix in the mixed juice and the final bagasse to the total brix in the cane.
Pol Factor: The percentage ratio of total pol in the mixed juice, and the final bagasse to the total pol in the cane.

Dextran
A form of glucose created by microbial activity. This is generally destroyed during the carbonization process.

Dry Substance
Describes the material which is left after a substance has been dried in a consistent fashion.

Escribed Volume
This is a measurement of how much material can be escribed by a pair of mill rolls in a specified length of time. Generally described in meters per second.

Extraction
A measurement of the percentage ratio of sucrose in mixed juice compared to sucrose in sugar cane.

Fiber
The solid part of the sugar cane, which cannot be dissolved. Also known as natural fiber.

Filter Cake
Simply the material which is removed via filtration during the sugar refining process.

Gums
Polysaccharide precipitate which can be made by treating sugar liquor with acidified ethyl alcohol

Imbibition
This is a process in which water (or in some cases sugar juice) is put on bagasse to dilute the juice in the bagasse.

Insoluble Solids
The material present in the mixed sugar juice which does not dissolve and must be removed by sedimentation and/or filtration. In many cases this material will collect at the bottom of the subsiders and be removed.

Intermixed Cane
This term arises from the method of carrying sugar cane, which is to place many differing consignments on one carrier. Cane from various consignments mixes together to make a blend of cane that possesses properties that are not representative of any of the consignments on board the carrier, and for analytical purposes should be discarded.

Invert Sugar
When sucrose is hydrolyzed, invert sugar can be produced. This is a sugar mixture which is half glucose and half fructose.

Java Ratio
Java ratio is the percentage ratio of the percentage of pol in cane to the percentage of pol in the first juice.

Juice

Absolute Juice: This juice only exists hypothetically, and is the mass of the sugar cane minus the mass of fiber. It is not possible to ever completely extract all the sugar and liquid present in the cane.

Clarified Juice: Juice which has been clarified.

Diffuser Juice: Juice removed from sugar cane or bagasse diffusers.

First Expressed Juice: The first juice which is extracted by the first two rollers.

First Mill Juice: The first juice extracted from the first mill.

Last Expressed Juice: The last juice extracted by the last rollers.

Last Mill Juice: The last juice extracted from the last mill.

Mixed Juice: The juice that is pumped to the juice scales from the extraction plant.

Press Water: The liquid removed when diffuser bagasse is dewatered.

Primary Juice: The combined juices prior to treatment.

Residual Juice: The juice present in bagasse, apart from the juice in first bagasse.

Secondary Juice: Diluted juice which is mixed with primary juice to make mixed juice.

Undiluted Juice: All the juice in the cane. Once again, this is fairly hypothetical as it is not possible to remove all juice in a useful fashion.

Magma
The mixture of sugar crystals and warm sugar liquor which is created in the first stages of the refining process.

Massecuites
Crystals and mother liquor which are removed from a vacuum pan as a liquid mixture. There are various grades of Massecuites, determined by their purity.

Milling Loss
A measurement describing the percentage ratio of pol (sucrose content) in bagasse compared to fiber in bagasse.

Molasses
A thick, dark, sweet, highly viscous substance separated from sugar at the beginning of the refining process.

Mud
This term refers to the sludge type material that is cleaned from the lower regions of the subsiders. This is made up of liquid and insoluble substances.

Non-Pol
A term used to describe the brix minus any pol (sugar content.)

Non-Pol Ratio
This describes the amount of non-pol in sugar, the non pol in final molasses, and non-pol in mixed juice.

Non-Sucrose
A term which describes the portion of the dry substance which is not sucrose.

Normal Mass
The normal mass of sucrose should be 26,000 g. This is determined by calculating the mass of dry sucrose, which when dissolved in 100 cubic centimeters of water at 20 degrees Celsius, and then read in a tub 200mm long, reads 100 degrees on the saccharimeter scale.

Nutch Sample
A sample of molasses removed prior to the curing of the massecuite.

Overall Recovery
A measurement which describes how much pol is recovered in sugar, compared to the sucrose in sugar cane.

Pol
The sucrose content when expressed as a percentage. Most refined sugar has a very high pol, as you would expect, between 99 – 100%. This measurement is called “pol”because it is determined by the polarization method.

Polysaccharides
A complex carbohydrate molecule where many saccharide molecules are bonded together.

Preparation Index
This is the percentage ratio of brix in ruptured cells, compared to the total amount of brix in the cane.

Purity
The ratio of pol to brix. Essentially this term describes how much pure sucrose is present in a sugar sample.

Reducing Sugars
These are sugars used in the reduction of Fehlings solution.

Reducing Sugar/Ash Ratio
This describes the ratio of reducing sugars compared to sulphated ash.

Reducing Sugar/Pol Ratio
This describes the ratio of reducing sugars to pol.

Safety Factor
This is a value which describes the “keeping quality” of fresh raw sugar which has a pol of less than 99%.

Saturated Solution
A saturated solution is one in which no more sugar crystals will dissolve, or be crystallized.

Solubility
The ability of a substance (referred to as a solute in many cases) to dissolve in a solution.

Solubility Coefficient of Sucrose
A measurement which describes the solubility of sucrose in a sample solution when compared to the solubility of sucrose in pure water under the same temperature conditions.

Sucrose
The form of sugar that is refined from sugar cane and sugar beet.

Sugar
The common term which is most often used to describe sucrose.

Sugar Cane
A tall, fibrous plant which naturally contains high levels of sucrose, and some glucose and fructose (though these are removed in the refining process). Sugar cane is scientifically classified as being a grass, and is a member of the genus Saccharum.

Supersaturation Coefficient Of Sucrose
This is the ratio which compares how much sucrose is present in a sample with the potential solubility of sucrose in the sample under constant conditions.

Syrup
In sugar production terms, this refers to concentrated juice which has a brix between 60 and 70 percent.

Wash
This is a term which can be used to describe the liquor which is removed after washing, and the liquor removed from magma.

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