Sugar and coffee prices rise as Brazil remains dry

Raw sugar futures on ICE were higher on Monday and arabica coffee prices also rose, buoyed by dry weather in Brazil, the top producer of both commodities.

SUGAR

* October raw sugar SB1! rose 0.9% to 22.87 cents per lb by 1353 GMT, climbing back up towards a seven-month high of 23.13 cents set on Friday.

* Dealers said speculators had been covering a net short position against the backdrop of concerns that dry weather and fires in Brazil could curb production in the world's top producer and exporter of the sweetener.

* They noted an expected rise in production in Thailand could help to limit supply tightness in the first part of 2025 before the Brazil cane harvest gets underway.

* December white sugar SF1! ​​rose 1.3% at $592.60 a metric ton.

COFFEE

* December arabica coffee KC1! rose 3.8% to $2.6030 per lb supported by dry weather in top producer Brazil although prices remained well below a 13-year high set a week ago.

* Rabobank said in a note that extreme dry conditions in Brazil were yet to be alleviated and forecasts predicted another bone dry week before some eventual rain.

* November robusta coffee RC2! rose 3.2% to $5,221 a ton.

* The value of Uganda's coffee exports in August soared 82.9% versus a year earlier helped by higher global prices, the state-run sector regulator said in a report on Monday.

COCOA

* December New York cocoa CC1! ​​rose 1.7% to $7,788 a ton.

* Dealers said the market was edging up towards the upper end of this month's range although generally favourable weather in West Africa should help to limit gains.

* March London cocoa C2! ​fell 0.4% to 4,566 pounds a ton weighed by the strength of sterling.