Molasses market in Australia

Earlier Report Observations

The Australian molasses market volume declined steadily from 883 thousand tons in 2018 to 611 thousand tons in 2022, representing a cumulative reduction of over 30%. The most significant contraction occurred in 2021, when volume fell by nearly 150 thousand tons. A modest recovery took place in 2023, with market size rising to 657 thousand tons.

In value terms, the market exhibited similar volatility, decreasing from $127.3 million in 2018 to $103.4 million in 2022 before rebounding to $115.0 million in 2023. The divergence between volume and value movements, such as the value increase in 2020 despite lower volume, points to fluctuations in molasses prices. During this period, domestic production remained relatively stable while exports increased substantially, particularly after 2020, which likely influenced domestic availability.

Production molasses in Australia

In kind, 2018-2021, K t

Between 2018 and 2021, Australia ranked as the 11th largest producer of molasses in the world.

Top producers of molasses, 2018-2021

World map of production of molasses, 2018-2021

Australia's molasses production grew for the second consecutive year. In 2021, the country produced 1 031 K t of molasses, marking a modest increase of 1.1% compared to the previous year. Over the 2018-2021 period, production declined by 7.9%, which translates to an average annual decrease of 2.7%. The lowest production level was recorded in 2019 at 1 000 K t. The sharpest drop occurred in 2019, with a 10.7% decrease, while the largest gain was seen in 2020, with a 2.0% rise.

Annual dynamics of production in Australia in kind, 2018-2021, K t

In value, 2018-2021, M $ US

Molasses production in Australia continued to rise for the second year in a row. In 2021, the output was valued at 167.9 M $ US, up by 24.2% year-over-year. From 2018 to 2021, production increased by 5.7%, with a compound annual growth rate of 1.9%. The lowest value was recorded in 2019 at 119.7 M $ US. The most significant decline happened in 2019, with a 24.6% drop.

Annual dynamics of production in Australia in value, 2018-2021, M $ US

Exports molasses from Australia

Exports in kind, K t

The market experienced notable fluctuations during this period. Exports varied significantly, reaching a low in 2019 and a high in 2021, with a 2.1-fold difference between these years. In 2021, Australia's foreign molasses supplies totaled 350.0 K t, showing a sharp improvement of 72.0% compared to the previous year. The minimum value was recorded in 2019 at 163.0 K t, and the largest decline occurred that same year, with a 31.9% decrease.

Annual dynamics of product's exports from Australia in kind, 2018-2021, K t

From 2018 to 2021, New Zealand (47.0% of exports in kind), the United States (18.8% of exports in kind), and Thailand (16.9% of exports in kind) were the leading destinations in Australia's export structure, together accounting for 82.7% of total flows.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Australia in kind, 2018-2021

Exports in value, K $ US

The market displayed volatility over the observed period. Export volumes dropped to their lowest point in 2019 and peaked in 2021, with a top-to-bottom ratio of 2.9 times. In 2021, molasses exports from Australia were recorded at 57 008 K $ US, equivalent to an increase of 111.4% compared to the previous year. The minimum value was recorded in 2019 at 19 517 K $ US, and the largest decline occurred that year, with a 42.5% drop.

Annual dynamics of product's exports from Australia in value, 2018-2021, K $ US

Between 2018 and 2021, New Zealand (41.6% of exports in value terms), South Korea (21.4% of exports in value terms), and Thailand (16.7% of exports in value terms) stood out as the main markets for Australia's exports, collectively representing 79.7% of total flows.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Australia in value, 2018-2021

Imports molasses to Australia

Imports in kind, K t

Volatility characterized the market behavior during these years. Imports reached their lowest point in 2018 and peaked in 2019, reflecting an 8.2-fold gap. In 2021, Australia imported 2.2 K t of molasses, representing a steep contraction of 86.0% compared to 2020. The maximum value was recorded in 2019 at 17.6 K t, and the largest increase occurred that year, with a 715.2% rise.

Annual dynamics of product's imports to Australia in kind, 2018-2021, K t

From 2018 to 2021, Vietnam and Thailand jointly absorbed 89.6% of total molasses imports in kind to Australia, with the remaining volume distributed across smaller markets.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Australia in kind, 2018-2021

Imports in value, K $ US

There were noticeable fluctuations in market performance during the period. Import volumes dropped to their lowest point in 2021 and reached their highest in 2020, with a peak-to-trough ratio of 7.8 times. In 2021, molasses shipments to Australia from abroad came to 1 713 K $ US, indicating a decrease of 87.2% versus the previous year. The maximum value was recorded in 2020 at 13 428 K $ US, and the largest increase occurred in 2019, with a 387.1% rise.

Annual dynamics of product's imports to Australia in value, 2018-2021, K $ US

Between 2018 and 2021, Thailand (63.9% of imports in value terms), Vietnam (15.7% of imports in value terms), and India (6.3% of imports in value terms) continued to lead as the main suppliers of molasses to Australia, together accounting for 86.0% of total imports in value terms.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Australia in value, 2018-2021