The Sugaright Solution to High Sugar Prices

With consumers pushing back on high food prices, sugar buyers are under pressure to reduce ingredient costs to maintain profit margins. Sugaright offers a menu of solutions to assist buyers in reaching their goals.

The Harsh Reality

Experts predict that high sugar prices are here to stay for the short (and perhaps long-term) due to 1) inflationary pressures 2) a shortage of tariff free sugar from Mexico into the US, 3) higher labor costs, 3) higher freight and finance costs, 4) competition from other more profitable crops and of course 5) the always present risk of adverse weather conditions in both cane sugar and beet sugar growing areas domestically and globally.

Though many of the factors that contribute to these high prices are out of our direct control (weather, politics), CSC Trading and Sugaright have identified areas where innovation and investment have created long-term solutions to price volatility and market prices.

Less Processed, Lower Costs

Sugaright became the liquid sugar supplier of choice when we asked the industry to "Change the Way they Think About Liquid Sugar" by offering less expensive, and environmentally friendly options to traditional water white refined sugar. Our Sugaright Selective Separation Refining process removes what you don’t want (microbes, heavy metals and some color) and leaves everything else.

Buyers at innovative companies saw the immediate and long-term benefits of modifying color specifications to allow for the darker colors in their products. R&D teams quickly discovered that in ice cream, yogurt, plant-based beverages, dairy based beverages and coffee creamers, 350 RBU color liquid sugar has shown no significant difference in color and flavor compared to the old industry standard of 35 RBU. And now bakeries, cereal makers, and other food processors have seen no difference in finished product quality as well.

When the beet growers declared force majeure in 2019 due to freezing conditions, those food companies that had already changed their color specs pivoted quickly to replace beet sugar with Sugaright liquid sugar.

These buyers now find themselves in the enviable position of having greater options for supply, no longer dependent on a handful of higher cost options.

The ice cream pictured above was made with 350RBU Liquid Sugar which has become the new industry standard for most dairy and plant-based products.

Refitting a Plant to Take Liquid Instead of Dry Granulation Sugar

With higher labor and higher sugar prices, the ROI of such projects and pay-back times have improved due to labor efficiencies and reduced product waste. It may be time to take a new look at this option. The Sugaright Engineering Team is here to offer guidance.

Location, location, location,

Our 7 liquid sugar micro-refineries are located close to major food manufacturing areas. This means lower transportation costs that get passed on to the customer, along with the minimized risk that comes with shorter routes.

A Global Source of Raw Sugar

As a leading importer of raw sugar into the US, CSC Trading has access to a wide global supply network. Long-term customers know that when US beet or cane growers suffer from adverse weather events and cannot honor contracts, Sugaright has been there to keep their plants operating. And of course, a greater supply has a dampening effect on high prices.

We welcome the opportunity to share the Sugaright Solution with you at the 2024 International Sweetener Colloquium next week. Please contact us to set up a meeting.