Molasses market in Asia, 2026

Earlier Report Observations

The Asian molasses market began the period with stable production and market volume around 31 million tons in 2018-2019. This stability was supported by structural changes in the global sugar industry, including the end of European Union sugar production quotas, which increased flexibility for sugar beet processors to allocate output between food and non-food uses such as molasses and ethanol. In Asia, Thailand's position as a major sugar exporter and its preference for using molasses rather than raw cane for ethanol production provided a steady demand pillar for the regional molasses market.

Market volume contracted sharply to approximately 26 million tons in 2020-2021, pressured by volatility in global sugar prices and harvest conditions that affected sugar production and its by-products. A sustained recovery took hold from 2022 onward, with volume returning above 31 million tons by 2023. This rebound was primarily driven by record-high world sugar prices, which incentivized sugar output and consequently increased molasses production as a co-product across Asian sugar-producing regions.

Production molasses in Asia

In kind, 2017-2020, K t

Top producers of molasses, 2017-2020

World map of production of molasses, 2017-2020

Molasses production in Asia grew for two consecutive years before declining. In 2019, production reached its peak at 30,669 thousand tonnes. However, in 2020, output fell to 25,450 thousand tonnes, marking a significant 17.0% decrease from the previous year. Over the entire 2017-2020 period, production increased by 4.3%, which translates to an average annual growth rate of 1.4%. The most substantial year-on-year increase occurred in 2018, when production surged by 25.4%.

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

In value, 2017-2020, M $ US

Asia's molasses production value rose for two years before experiencing a downturn. The peak was recorded in 2019 at 9,036 million US dollars. In 2020, the production value dropped to 5,345 million US dollars, representing a sharp 40.8% decline compared to 2019. From 2017 to 2020, the overall production value decreased by 24.7%, equivalent to an average annual decline of 9.0%. The largest year-on-year increase happened in 2018, with a 14.1% rise.

Annual dynamics of production in Asia in value, 2017-2020, M $ US

Exports molasses from Asia

Exports in kind, K t

The export volumes of molasses from Asia showed considerable volatility during this period. In 2019, exports hit their lowest point at 433 thousand tonnes, reflecting an 18.4% decline from the previous year. However, in 2020, exports rebounded strongly to 876 thousand tonnes, which was a 102.4% increase compared to 2019. This created a two-fold difference between the low in 2019 and the high in 2020, highlighting the market's instability.

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

Between 2017 and 2020, Asia's molasses exports in volume terms were highly diversified across many countries. The top three destinations—the Netherlands, Asia not elsewhere specified, and the United Kingdom—collectively accounted for just 9.5% of total exports. Specifically, the Netherlands and Asia not elsewhere specified each held 3.3% shares, while the United Kingdom accounted for 2.8%. The remaining 90.5% of exports were distributed among numerous smaller partner countries.

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

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

Exports in value, M $ US

Asia's molasses export value demonstrated steady growth over the 2017-2020 period, increasing by 36.5% overall, which corresponds to an average annual growth rate of 10.9%. In 2019, the export value was at its lowest point, totaling 127.5 million US dollars, after a 9.3% decline from the previous year. By 2020, exports recovered to 183.9 million US dollars, showing a 44.3% gain compared to 2019.

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

From 2017 to 2020, the value of molasses exports from Asia was spread across a wide range of buyers. The three largest importers—New Zealand, the Netherlands, and Asia not elsewhere specified—together represented only 10.0% of total export value. New Zealand accounted for 4.4%, the Netherlands for 2.9%, and Asia not elsewhere specified for 2.7%. The remaining 90.0% was distributed among many other trading partners.

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

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

Imports molasses to Asia

Imports in kind, K t

Asia's molasses import volumes experienced notable fluctuations. In 2017, imports peaked, but then fell to a low of 746 thousand tonnes in 2019, after a 40.5% decline in 2018. In 2020, imports rebounded sharply to 1,529 thousand tonnes, which was a 104.8% increase from 2019. Overall, imports varied by 2.4 times between the high in 2017 and the low in 2019.

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

During the 2017-2020 period, Asia's molasses imports in volume terms came from a diverse set of suppliers. The top three sources—Russia, Australia, and Egypt—collectively accounted for 32.6% of total imports. Russia was the largest supplier with an 18.3% share, followed by Australia at 8.0% and Egypt at 6.2%. The remaining 67.4% of imports were distributed among many other partner countries.

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

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

Imports in value, M $ US

Asia's molasses import value increased for the second consecutive year in 2020. After reaching a low of 264.2 million US dollars in 2018, following a 24.1% decline, imports rose by 40.6% in 2019. In 2020, imports further increased to 444.6 million US dollars, up 19.6% from 2019. Over the entire 2017-2020 period, import value grew by 27.8%, with an average annual growth rate of 8.5%.

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

From 2017 to 2020, the value of molasses imports to Asia was widely dispersed among supplier countries. The three largest suppliers—Russia, Australia, and Egypt—together represented only 26.6% of total import value. Russia accounted for 13.3%, Australia for 7.1%, and Egypt for 6.2%. The remaining share was distributed across numerous other partners.

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

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