Daily Insight-In the spotlight: sugar market prepares for higher prices, Ferrexpo resumes key projects, DTEK

The National Association of Sugar Producers of Ukraine expects a 5-18% increase in the sugar price in December 2010. The association\'s general director, Mykola Yarchuk, forecasted the new price in a range of UAH7,500-8,500 (US$940-1,060) over the next month. The current price, according to Mr. Yarchuk, is around UAH7,150-7,200 per tonne (US$899-905), while other sources indicate UAH7,300-7,400 price levels (US$918-931). The association also said the average cost of production for 1 tonne of sugar is currently UAH6,500 (US$817). Prices will grow after the production season, from December-January, is finished, as expected for the current season. Ukrainian sugar prices generally shadow quotations on the New York and London commodity exchanges, with some time lag.