Molasses market in ASEAN

Earlier Report Observations

The ASEAN molasses market volume fluctuated significantly between 2018 and 2023. After reaching 9.3 million tons in 2019, it dropped sharply to 6.4 million tons in 2020, largely due to extreme weather events that reduced sugarcane harvests and molasses supply. The market remained subdued in 2021 before recovering to 6.7 million tons in 2022, driven by increased bioethanol production using molasses as feedstock, supported by government biofuel policies in the region.

Volatile pricing caused by natural calamities and supply disruptions contributed to another decline in market volume to 6.1 million tons in 2023. Throughout the period, the market saw ongoing technological advancements in extraction and refining, which improved product quality and yield. Additionally, growing applications in food, feed, and pharmaceuticals, along with rising consumer preference for natural sweeteners, shaped the broader market landscape.

Production molasses in ASEAN

In kind, 2017-2020, K t

Top producers of molasses, 2017-2020

World map of production of molasses, 2017-2020

After two years of growth, molasses production in ASEAN declined. In 2020, ASEAN produced 6 384 K t of molasses, representing a 28.7% decrease compared to the previous year. Over the 2017-2020 period, production fell by 7.2%, with a compound annual growth rate of 2.5%. The highest production level was recorded in 2019 at 8 960 K t, while the largest increase occurred in 2018 with a 24.4% rise.

Annual dynamics of production in ASEAN in kind, 2017-2020, K t

Exports molasses from ASEAN

Exports in kind, K t

The market showed an unstable trend throughout the period. Exports reached their lowest point in 2019 at 322.1 K t, then peaked in 2020 at 919.0 K t, representing a 2.9-fold difference between these years. In 2020, ASEAN's cross-border shipments of molasses amounted to 919.0 K t, marking a substantial 185.3% increase from 2019. The largest decline was recorded in 2019 at 32.5%.

Annual dynamics of product's exports from ASEAN in kind, 2017-2020, K t

The country composition of exports in kind during 2017-2020 was dispersed. South Korea accounted for 15.6% of exports in kind, Japan for 10.8%, and Asia (not elsewhere specified) for 3.5%. Together, these three destinations represented just 29.8% of total flows, with the remaining 70.2% distributed among a wide range of other countries.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from ASEAN in kind, 2017-2020

Exports in value, M $ US

ASEAN's molasses export value increased for the third consecutive year. In 2020, exports totaled 167.5 M $ US, up 44.7% from the previous year. Over the 2017-2020 period, exports grew by 75.4%, with a compound annual growth rate of 20.6%.

Annual dynamics of product's exports from ASEAN in value, 2017-2020, M $ US

During 2017-2020, ASEAN's molasses was traded with numerous countries. Even the largest destinations - South Korea, Japan, and New Zealand - together represented only 28.6% of total exports in value terms.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from ASEAN in value, 2017-2020

Imports molasses to ASEAN

Imports in kind, K t

Molasses imports to ASEAN increased for the second consecutive year. In 2020, imports stood at 932.9 K t, showing a significant 36.3% rise compared to the previous year. Between 2017 and 2020, imports grew by 23%, equating to an annualized rate of 7.1%. The lowest import level was recorded in 2018 at 414.3 K t, which also saw the largest decline of 45.4%. The largest increase occurred in 2019 with a 65.2% rise.

Annual dynamics of product's imports to ASEAN in kind, 2017-2020, K t

Analysis of imports in kind from 2017 to 2020 reveals a broad distribution across many markets. India accounted for 11.2% of imports in kind, Egypt for 8.8%, and Australia for 5.9%. Together, these three countries represented only 25.9% of total flows, with a substantial 74.1% coming from other trading partners.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to ASEAN in kind, 2017-2020

Imports in value, M $ US

The market exhibited an unstable trend throughout the period. Imports reached their lowest point in 2018 at 103.8 M $ US, then peaked in 2020 at 232.5 M $ US, reflecting a 2.2-fold gap between these years. In 2020, foreign molasses supplies to ASEAN amounted to 232.5 M $ US, showing a 21.2% increase versus the previous year. The largest decline was recorded in 2018 at 33.8%, while the largest increase occurred in 2019 with an 84.8% rise.

Annual dynamics of product's imports to ASEAN in value, 2017-2020, M $ US

The structure of imports in value terms from 2017 to 2020 can be described as diversified. India accounted for 13.1% of imports in value terms, Egypt for 8.2%, and Australia for 4.9%. Together, these three countries represented just 26.1% of total flows, with no single country holding a clearly dominant position.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to ASEAN in value, 2017-2020