Table of contents
- Short summary
- What are sugar futures?
- How Sugar No. 11 works on ICE
- How to read the sugar price and tick value
- Sugar No. 11, Sugar No. 16 and White Sugar
- What affects the price of sugar?
- Season, contract months and the futures curve
- Reports and data sources
- The sugar market picture for 2026
- Broker and tools
- Strategies for trading sugar futures
- Risk management in Sugar No. 11
- How to trade Sugar No. 11 from Europe
- Sugar vs coffee and cotton
- Checklist before trading
- Sources
- Conclusion
- FAQ
Quick summaryWhat you should know about sugar futures
- SB is Sugar No. 11 futures on ICE Futures U.S. and is the main global benchmark contract for raw sugar.
- One standard contract represents 112,000 pounds of raw sugar, roughly 50.8 metric tons.
- The minimum price movement is 0.01 cent per pound. That gives a tick value of $11.20.
- One full cent per pound equals $1,120 per contract before commission, fees and slippage.
- Brazil, India, Thailand, ethanol, oil, BRL, weather, export policy and fund positioning are key price drivers.
- The contract is physically delivered and has no daily price limit. Rollover, delivery deadlines and position size must be planned before trading.
Want to test real ICE commodities?
Start with a demo, tick value and delivery deadlines before you risk capital. For exchange-listed commodity futures you need a broker, market data and a platform that supports ICE Futures U.S.
Sugar is both a food and an energy market
Sugar No. 11 is an exchange-listed commodity contract, but the price isn't driven only by how much sugar the world produces. In Brazil, a large share of the sugarcane crop can go to either sugar or ethanol. That means the oil price, the gasoline market and the Brazilian currency can move the sugar price together with weather, crop size and stocks.
For a trader, that means sugar has to be analysed as a physical commodity market, an export market and an energy-related market at the same time.
What are sugar futures?
A futures contract is a standardised agreement to buy or sell a set quantity of a commodity at a later date. Sugar No. 11 prices physical delivery of raw cane sugar that meets ICE's quality and origin requirements.
Producers, mills, refiners and trading houses use the contract for price hedging. A producer can sell futures to reduce the impact of a price fall before the goods are exported. A refiner can buy futures to dampen the risk of a higher raw material cost. Funds and active traders use the same contract to take a view on price, spread or volatility.
Most financial traders close or roll the position before delivery. The physical anchoring still matters: quality, freight, port capacity, deliverable origin and delivery economics affect the futures price. SB also shouldn't be confused with a CFD, which can have a different price reference, spread, financing cost and rollover method.
Also read our broader guide to commodity futures if you want to understand the difference between physically anchored futures and more synthetic products.
How the Sugar No. 11 contract works on ICE
ICE describes Sugar No. 11 as the global benchmark contract for raw sugar. The contract is physically delivered, quoted in US cents per pound, and covers raw centrifugal cane sugar based on quality requirements that relate, among other things, to polarization.
| Feature | Sugar No. 11 futures |
|---|---|
| Exchange | ICE Futures U.S. |
| Product code | SB |
| Contract size | 112,000 pounds of raw sugar |
| Price quotation | US cents per pound |
| Minimum tick | 0.01 cent per pound |
| Tick value | $11.20 per contract |
| Contract months | March, May, July and October |
| Settlement | Physical delivery |
| Daily price limit | No daily price limit stated by ICE |
| Last trading day | Last business day of the month prior to the delivery month |
Trading hours normally correspond to afternoon and evening in Europe, but the time difference varies as the US and Europe switch between summer and winter time on different dates. Always check the exchange calendar and the clock displayed in the trading platform.
ICE accepts sugar from a long list of origin countries, including Brazil, India, Thailand, Australia, Mexico and the US. Delivery takes place at a port in the origin country or a regular export port. The futures price therefore needs to be viewed alongside local prices, freight, quality and currency.
How to read the sugar price and tick value
Sugar No. 11 is quoted in US cents per pound. A screen price of 18.00 means 18 cents, i.e. $0.18 per pound. The notional commodity value becomes $0.18 x 112,000 pounds = $20,160.
At a price of 20.00 cents, the contract value is $22,400. The trader normally doesn't pay this full value, but posts margin instead. Margin is collateral for the position, not an expression of maximum risk.
The minimum price step is 0.01 cent per pound. The calculation is $0.0001 x 112,000 pounds = $11.20 per tick. A move of one full cent per pound equals $1,120 per contract.
Example: 18.20 to 18.85
If you buy SB at 18.20 and sell at 18.85, the price has risen 0.65 cent per pound. The gross result is 0.65 x $1,120 = $728 per contract, before commission, exchange fees and slippage. An equivalent decline produces the same loss.
This calculation should be done before every trade. A stop distance of just 0.40 cent implies $448 in theoretical risk per contract before slippage. Position size must be determined by the risk budget and a technically sound stop distance, not by how low a margin the broker offers.
Sugar No. 11, Sugar No. 16 and White Sugar
The term sugar futures covers several different markets. Sugar No. 11 is the global raw sugar benchmark. Sugar No. 16 covers US-produced raw sugar, or foreign sugar on which duty has been paid, delivered to specific US refinery ports. It is strongly influenced by US sugar policy and quotas.
White Sugar trades on ICE Futures Europe and covers 50 tons of white or refined sugar. The minimum price step is $0.10 per ton, i.e. $5 per contract. The difference between the white sugar price and the raw sugar price is often called the white premium and can say something about refining margins, availability and demand for finished sugar.
For analysis and order placement, the trader must check both the contract name and the symbol. SB, Sugar No. 16 and White Sugar aren't interchangeable.
What affects the price of sugar?
The sugar price is determined by more than the size of the world's crop. The market has to interpret where the commodity is produced, whether the raw material goes to sugar or ethanol, which export restrictions apply, and how quickly the goods can be moved to buyers.
Brazil and the production mix
Brazil is the dominant player in the world's raw sugar trade. The market particularly follows the Center-South region, where a large share of the country's sugarcane is crushed. Weather, crop yield, sugar content, crush rate and mill maintenance affect how much sugar can be produced.
A crucial variable is the production mix. Many Brazilian mills can use their cane for either sugar or ethanol. When sugar offers better economics, a larger share can go to crystal sugar. When the ethanol market is more attractive, more raw material can go to fuel.
The Brazilian real and export incentive
Sugar No. 11 is quoted in US dollars, while a large share of Brazilian costs are in real. A weak Brazilian real can increase the local-currency income for each dollar the exporter receives. That can make Brazilian producers more willing to hedge or sell future production.
India, Thailand and trade policy
India is among the world's largest producers and consumers. The timing and amount of monsoon rainfall, planted area, crop yield and how much cane goes to ethanol affect the domestic balance. Export quotas, restrictions and support schemes determine whether Indian sugar becomes available internationally.
Thailand is a key exporter and is affected by monsoon, drought, cane acreage and competition from alternative crops. China is a large consumer and producer, but its import needs can vary with local prices, stocks, tariffs and government measures.
Oil, gasoline and ethanol
Higher oil and gasoline prices can improve ethanol economics, especially in Brazil, and thereby reduce the share of cane going to sugar. Lower energy prices can pull in the opposite direction. The relationship varies with taxes, blending mandates and fuel policy.
Weather, stocks, the dollar and fund positioning
Drought can reduce growth and yield, while too much rain can delay harvest and reduce sugar content. Frost can damage cane in exposed regions. A strong dollar can make sugar more expensive for buyers with other currencies, while freight, port congestion and vessel availability affect delivery cost.
The CFTC's weekly COT data shows categories of open positions, but not the motive behind them. The report is a positioning picture, not a standalone trading signal.
Season, contract months and the futures curve
Sugar No. 11 has delivery months in March, May, July and October. Liquidity normally concentrates in the nearest active contracts and shifts as expiry approaches. The roll date should be determined by volume, open interest, spread and the broker's delivery deadline.
The season is global. The Brazilian Center-South harvest and crush is central for much of the year, while India and Thailand have different production windows. That means the market continuously shifts focus between crops and regions.
Contango and backwardation
Contango means later contracts are more expensive than the nearest contract. It can reflect financing, storage costs or good availability of the physical commodity. Backwardation means the nearest contract is more expensive than later contracts, often because the market is pricing scarcity or a high value on immediate delivery.
The reports and data sources sugar traders follow
A professional analysis setup should combine exchange data, public statistics and information from the key producer countries.
- ICE contract data: The primary source for the contract, delivery, trading hours and expiry. Margin requirements and position limits can change.
- USDA Sugar: World Markets and Trade: Global production, consumption, trade and stocks.
- USDA ERS Sugar and Sweeteners Outlook: More detailed analysis of the US and Mexico.
- CFTC Commitments of Traders: Weekly positioning data. Sugar No. 11 has CFTC code 080732.
- Producer countries: For Brazil, crush, sugar content, production mix and ethanol are followed. For India and Thailand, crop size, monsoon and export decisions are central.
The sugar market picture for 2026
A 2026 market picture should be scenario-based, not a static price forecast. USDA estimated in its global report from May 2026 that India remained the world's second-largest producer after Brazil, and that Indian production in 2026/27 would recover. At the same time, actual exports must be weighed against domestic demand, ethanol use and political decisions.
Four questions for 2026
- How much sugar will Brazil produce, and how large will the sugar mix be?
- Will Indian production recover, and will the surplus be exported?
- How will Thailand and other exporters develop?
- Are demand and stocks strong enough to absorb the supply?
A bullish scenario can emerge if Brazil disappoints, ethanol becomes more attractive and Indian exports are restricted. A bearish scenario can follow from large Brazilian supply, an Indian export opening and a good Thai crop. The Brazilian real can amplify either direction. Define in advance which data would confirm or refute the scenario.
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No strategy guarantees a gain. Sugar No. 11 can move quickly around weather reports, export decisions and changes in fund positioning.
Trend trading with fundamental confirmation
Use production data, currency and the futures curve as a filter for trend on the daily or four-hour chart. A good report isn't necessarily bullish if the market had expected more.
Breakout after consolidation
A breakout from consolidation with rising volume can offer a defined setup, but false breakouts are common. Decide entry, stop and how you'll handle report timing before the order is sent.
Calendar spreads
A spread can express a view on physical scarcity with less direct price exposure, but it requires an understanding of season, delivery, liquidity and margin.
Event-driven trading
Export decisions, production data and weather shifts can trigger gaps and slippage. Many traders reduce size or assess the market after the initial reaction.
Relative analysis
The white premium, the Brazilian real, oil and ethanol can support relative analysis. The correlations are shifting and should form hypotheses, not automatic signals.
Risk management in Sugar No. 11
SB has high leverage and no daily price limit. The absence of a price limit doesn't mean low risk. The market can still see sharp gaps, fast slippage and high intraday volatility.
- Leverage: At 18 cents per pound, one contract controls raw sugar with a notional value of $20,160.
- Dollar value: One cent per pound equals $1,120. A daily move of 1.5 cents produces $1,680 per contract.
- Gaps and slippage: Stop orders don't guarantee execution at the stop price.
- Margin increases: ICE or the broker can raise the margin requirement when volatility rises or expiry approaches.
- Delivery: Positions held too long can face forced liquidation by the broker or the delivery process.
- Currency risk: Result, loss and margin are normally recorded in USD. USD/your home currency affects the value in local terms.
A simple position model
Assume an account of $40,000 and a maximum risk per trade of 0.5 percent, i.e. $200. A technically sound stop sits 0.35 cent from entry. The risk becomes 0.35 x $1,120 = $392 before slippage. One standard SB contract is then too large relative to the plan.
The solution isn't to move the stop artificially closer. The trader should wait for a different setup, reduce risk another way, or skip the trade.
How to trade Sugar No. 11 from Europe
To trade genuine Sugar No. 11 futures, you need a broker that accepts European clients and provides access to ICE Futures U.S., the SB contract and correct market data. You'll normally go through a suitability and risk assessment and post a security margin.
- Check access to ICE Sugar No. 11 with product code SB.
- Check real-time data availability and the cost of the ICE subscription.
- Check commission, exchange, clearing and platform fees.
- Compare intraday and overnight margin.
- Confirm trading hours, holidays and the last trading day.
- Check the broker's liquidation deadline ahead of physical delivery.
- Use stop, bracket and OCO orders if the strategy requires it.
- Consider deposits, withdrawals and currency conversion.
- Check regulatory status, the legal counterparty and customer support.
You can read our review of EdgeClear as an example of a specialised futures broker. Always check up-to-date terms, regulatory status, and that the specific account solution offers ICE, SB and the required data to European clients.
Consider starting simulated. Follow one contract month, convert the moves to dollars, and document the reaction to Brazilian data, USDA and COT.
Sugar compared with coffee and cotton
Sugar, coffee and cotton are all considered soft commodities and trade on ICE Futures U.S., but the contracts and price drivers differ.
| Market | Symbol | Contract | Key analysis |
|---|---|---|---|
| Sugar | SB | 112,000 pounds of raw sugar | Brazil, ethanol, India, Thailand, BRL and export policy |
| Coffee | KC | 37,500 pounds of Arabica | Brazil, Colombia, Vietnam, stocks, frost and physical quality |
| Cotton | CT | 50,000 pounds of upland cotton | US, Brazil, China, India, the textile industry and polyester |
Sugar and coffee futures share exposure to Brazilian weather and currency, but their physical dynamics and season differ. Sugar has the particular link between food and fuel through ethanol. Cotton futures are more closely tied to the textile industry and the business cycle.
Checklist before trading sugar futures
- Confirm the instrument is ICE Sugar No. 11 with product code SB.
- Check the contract month, volume and open interest.
- Convert stop distance to dollars using $1,120 per cent.
- Check notional value and available free margin.
- Check the last trading day and the broker's earlier liquidation deadline.
- Read the latest USDA report and note production, consumption, trade and stocks.
- Follow Brazil: weather, crush, sugar content, production mix, ethanol and BRL.
- Follow India and Thailand: monsoon, crop size and export policy.
- Consider the futures curve, calendar spreads and CFTC positioning.
- Include commission, data, currency conversion and slippage in the risk budget.
Sources and data basis
- ICE Futures U.S.: Sugar No. 11 Futures
- ICE Futures U.S.: Sugar No. 16 Futures
- ICE Futures Europe: White Sugar Futures
- USDA FAS: Sugar - World Markets and Trade
- USDA ERS: Sugar and Sweeteners
- CFTC: Commitments of Traders
Conclusion: SB demands control of physical risk
Sugar No. 11 is the world's central futures contract for raw sugar. It gives transparent, exchange-listed exposure to a global market, but the 112,000-pound contract size and a value of $1,120 per cent make the risk substantial.
The most important analysis in 2026 lies in the interplay between Brazil, India and Thailand. Brazil affects the market through crop, sugar mix, ethanol and currency. India can change the export supply through both production and policy. Thailand and other producers determine how dependent the world market is on the two largest players.
For a European trader, the process matters more than a single price forecast. Confirm the right contract, calculate the risk in dollars, follow the futures curve, and close or roll before delivery. Use USDA and CFTC as structured data sources, but always assess what the market has already priced in.
Risk warning
Futures carry substantial risk and can lead to losses exceeding the deposited security margin. The content is general information, not personal investment advice. Always check up-to-date contract specifications, margin requirements, regulatory status and broker rules before trading.
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Frequently asked questions about sugar futures
Short answers about SB, contract size, tick value, physical delivery, contract months and risk.
The product code at ICE Futures U.S. is SB. Many trading platforms add a month and year to the symbol. Confirm you have selected the physically delivered Sugar No. 11 contract and not Sugar No. 16, White Sugar or a CFD.
One standard contract represents 112,000 pounds of raw sugar, equal to 50 long tons or roughly 50.8 metric tons. At 18 cents per pound, the notional commodity value is $20,160.
The minimum price movement is 0.01 cent per pound. With 112,000 pounds in the contract, this gives a tick value of $11.20. A move of one full cent per pound equals $1,120.
ICE lists March, May, July and October. Liquidity varies between the contract months and normally shifts ahead of expiry. Check volume, open interest and delivery deadlines before choosing a contract.
Yes. The contract prices physical delivery of raw cane sugar FOB the receiver's vessel at an approved export port. Financial traders should close or roll the position well ahead of the broker's delivery deadline.
ICE states no daily price limit for Sugar No. 11. That doesn't limit the risk. The market can move quickly, and stop orders can see significant slippage.
Sugar No. 11 covers global raw cane sugar and is quoted in cents per pound. White Sugar covers 50 tons of white or refined sugar and is quoted in dollars per ton on ICE Futures Europe. The price difference is often used to analyse refining margins.
Brazilian crop and production mix, ethanol economics, the Brazilian real, Indian production and export policy, the Thai monsoon, the global stock balance and fund positioning are key factors.
Yes, provided a futures broker accepts European clients and offers ICE Futures U.S., the SB contract and the required market data. Check regulation, total fees, margin and delivery rules directly with the broker.
The contract has physical delivery, significant leverage and $1,120 in value per cent. It is therefore demanding for beginners. Simulated trading and a full understanding of tick value, stop distance and expiry should come before real capital is considered.