May 2022/23 RV commentary

The latest provisional RV Price for the 2022/23 season, which is payable at the end of May 2022, has been declared at R5 685.81 per RV ton. This represents an increase of R64.05 per RV ton compared to the previous RV Price estimate. The higher price can mostly be explained by a significantly weaker weighted average estimated Rand to US Dollar Exchange rate (R16.02/US$ vs R14.52/US$) and a decrease in the gross sugar production estimate (2.036mt vs 2.066mt). The increase was partially countered by a weaker weighted average world sugar No. 11 price (US19.40c/lb. vs US20.76c/lb.) and a lower sugar:RV ratio (92.93% vs 93.13%).