Cosun Beet Company is reducing its beet allocation for the 2026 growing year to 90%. Due to high yields and limited sales opportunities, the cooperative expects an oversupply of sugar. Sugar prices are also under pressure, which explains the decision to limit production. Read more about the impact on growers, the sales market, and the adjustment to the beet seed policy.
Cosun previously announced that it would keep the allocation to growers stable at 100%. Based on recent developments, the cooperative has now decided to reduce the allocation. "We understand that this announcement comes late and that you may already have your construction plan for next year," Cosun writes.
Global sugar prices are under pressure. In Europe, there's more sugar supply than previously expected, according to the company. "Based on market movements in recent weeks, the volume of our sugar production this campaign, and the expected final stock at the start of the next campaign, our analysis is that, for the beet yield, it's better for the cooperative to produce less sugar next year than we would based on the previous allocation of 100%."
Beet seed can be cancelled
At the end of August, when early orders for beet seed opened, Cosun wrote, "Given current market developments, the allocation for 2026 remains unchanged at 100%." Growers who have ordered too much beet seed due to the reduction will have the option to reduce their order to a maximum of 10% of the number of seed packets already ordered.
At the same time as the opening of early orders for beet seed, Cosun announced that the minimum price for member beets will be increased by €2,50 to €37,50 per tonne, starting with the 2026 growing year. According to Cosun, this is in line with its strategy to build a healthy and future-proof revenue model for its members.