Problems in the sugar industry – level 3

10-06-2022 15:00

The sugar industry is the latest industry affected by the war in Ukraine and by supply chain issues.

Producers worry that gas shortages may soon impact the global production of sugar. During the last three years, the demand of sugar has grown higher than production, and the stock of sugar has decreased in the world.

Due to the war in Ukraine, sugar producers have lost some of the worldwide sugar beet harvest, and experts say the loss will bring a big supply problem for the whole world. Sugar beets are 32% of the world’s sugar supply, and the EU is the third largest sugar producer in the world.

The manufacturing process uses a relatively large amount of energy for a short period of time, and most of this energy comes from coal, oil, or gas. Many factories fully depend on gas delivery, and they may soon have problems with processing sugar beets. That situation will be a disaster for beet growers and for the whole industry.

Difficult words: supply chain (a network of people and organizations that are involved in getting a product to customers), sugar beet (a plant with a root that makes sugar), relatively (an unusual amount).

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