Rising prices have farmers tasting success

Sugar prices are at a 30-year high, and sugarcane farmers are hoping an above-average crop will help them bounce back from last year's hurricanes.

Harvest season begins next week for most Acadiana sugarcane farmers and mills.

While recent rains could muddy up the harvest, many growers remain optimistic thanks to a surge in sugar prices.

U.S. sugar prices have climbed to 29 cents a pound this month after languishing around 20 cents for much of the last two decades.

The sudden spike in prices is good news for farmers, who have struggled with rising input costs, hurricanes and other untimely weather conditions for the past few years.

"It's really been tough on growers the last 2-3 years," said Ben Legendre, sugar cane specialist with the LSU AgCenter.

"This (price) increase would go a long way toward helping them get out of debt and buy new equipment, which is desperately needed."

Youngsville farmer Dwayne Viator was wrapping up repairs to equipment Wednesday as he prepared to begin harvesting on his family's 4,500-acre farm next week.

Viator said he expects to bring in an above-average crop this year.

"Not an outstanding crop, but I think it will be a good crop," he said. "And the price this year has finally moved up for us. Every little bit helps."

The 2009 crop got off to a rough start when hurricanes Gustav and Ike delayed planting.

Then a prolonged dry spell set in last fall, stunting the growth of newly-planted cane.

Another drought set in this summer, but wet weather since then has helped this year's crop rebound.

The introduction of new varieties has also boosted yields, Legendre said.

"The crop has been very resilient," said Blair Hebert Iberia Parish Chair for the AgCenter.

"You've got to tip your hat to the farmers, because they have not had extended periods of good weather the last few years."

Recent rains have created another setback for farmers, Legendre said. Some cane has been lodged due to heavy rainfall, which could diminish the quality of the harvest.

While weather conditions haven't favored growers, it appears the economics of the sugar industry might finally be providing some relief.

Global demand for sugar has risen in recent years, partly reflecting rising incomes in developing nations.

In the U.S., there is no subsidy supporting the sugar industry, but the government does set a minimum price it must sell for, and restricts how much sugar is imported to keep the supply steady. About 10 million tons of sugar is consumed in the U.S. each year, Legendre said, and eight million of that grows domestically in Louisiana, Florida, Texas and Hawaii.

Sugar cane is produced on about 400,000 acres in 23 Louisiana parishes, including 160,000 acres in the eight-parish Acadiana area. Cane is processed in a dozen factories around the state, including five mills operating along the Bayou Teche in Iberia, St. Martin and St. Mary parishes.

Sugar mills sell sugar year-round, so farmers receive an average price rather than a market price.

But they still figure to earn about 2 cents more per pound than last year, enough to fund much-needed investment in the industry.

"A lot of growers are excited for the first time in quite a few years," Legendre said.

Source: theadvertiser