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Click on photo to enlarge
Click on photo to enlarge
Click on photo to enlarge |
World
sugar prices are at a 25 year high, and the outlook is that they will
stay that way for a while.
Several factors
are driving the price of sugar:
Decreased
Supply
Chronically
low prices for the past decade have forced many producers out of
business, including the governments of St. Kitts and Trinidad. Cuba
has shut down over half of it's sugar mills and taken over half of it's
sugar cane acreage out of production and converted it into the
cultivation of other crops. Hawaii's sugar industry is almost a thing
of the past, down to 20% of what it was in the late 1980's.
The
Cost of Oil
High oil and
gasoline prices have made ethanol an attractive alternative. Sugar is
well suited to ethanol production, and an increasingly large portion
of the sugar crop is being converted to energy. Increased demand
combined with a more limited supply translates to higher prices.
Elimination
of Subsidies
The elimination of subsidies to sugar beet producers (largest sugar suppliers to Europe) ruled by
the World Trade Organization and consequently by the European Union has
contributed to the recent rise in prices.
Long
Term Cane Cycle
Since it
takes 18 months for new sugar cane plantings to come into production,
it is unlikely that the supply will increase before that time, and
appears that prices between $.15 USD and $.20 USD will remain in
effect. |
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The
Vitazyme Difference
Replicated
tests done in Cuba by researchers at INICA (Institute for the
Investigation of Sugar Cane) in 2003-2004 show that when Vitazyme
is applied three times to ratoon cane yields increase between
9.22 tons/ha and 25.19 tons/ha, with an average increase of
17.77 tons/ha. |
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Economic
analysis of ratoon sugar cane trials
with Vitazyme 3 l/ha cumulative rate. |
| Trial |
Fertilization |
Extra
Cane 1
(t/ha) |
Addit.
sugar 4
(t/ha) |
Additional
cost above control (USDA/ha) |
%
Control |
kg/ha |
Harvest
addit. cane 1 |
Fertiliz.
2 |
Vitazyme
3 |
Total |
| urea |
TSP |
| Santiago |
50 |
81.5 |
-- |
18.96 |
2.09 |
66.33 |
-19.56 |
84.00 |
130.33 |
| Santiago |
100 |
163 |
-- |
25.19 |
2.77 |
88.17 |
0 |
84.00 |
172.17 |
| Holguin |
100 |
283 |
383 |
9.22 |
1.02 |
32.27 |
0 |
84.00 |
116.27 |
| Average |
100 |
-- |
-- |
17.21 |
1.90 |
60.22 |
0 |
84.00 |
144.22 |
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1 Cost of cane
harvest & processing: 3.5 USD/t cane.
2 Cost of fertiizer application: 240 USD.t urea and 220 USD/t
Triple Super-phosphate (TSP) x dosage t/ha
3 Cost of each Vitazyme application: 18 USD Vitazyme/ha + 10 USD/ha
spraying
4 At 11% recoverable sugar |
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Net
Profits With Vitazyme |
| Trial |
Fertilization |
Addit.
Income 5
(USD/ha) |
Net
Profits |
%
con-
trol |
kg/ha |
at
0.15
USD/lb |
at
0.20
USD/lb |
at
0.15
USD/lb |
at
.20
USD/lb |
| Urea |
TSP |
| Santiago |
50 |
81.5 |
-- |
689.70 |
919.60 |
559.37 |
789.27 |
| Santiago |
100 |
163 |
-- |
914.10 |
1218.80 |
741.93 |
916.46 |
| Holguin |
100 |
283 |
383 |
336.60 |
448.80 |
220.33 |
332.53 |
| Average |
100 |
-- |
-- |
625.35 |
833.80 |
481.13 |
689.58 |
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5 At sugar price of
0.15 USD/lb (330 USD/t) and at 0.20 UKSD/lb (440 USD/t) |
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The
average cane yield of 17.22 tons produced a net profit, after
the additional cost of Vitazyme, application costs, and
harvesting and milling costs of the yield increase were
calculated, of $481.13USD/ha at a sugar price of $.15USD. The
net profit at a sugar price of $.20USD was $689.58 USD. For
every 10,000 hectares treated with Vitazyme, a net profit of
between $4,810,130 USD and $6,895,800 is realized, depending
on the sale price of the sugar. |
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Click on photo to enlarge
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Large
Scale Ratoon
Sugar Cane Trials in Cuba 2004-2005
Large scale extension trials
conducted by INICA included only one or two Vitazyme applications. In
two trials where Vitazyme was applied only once, yields increased by 6.62 tons/ha
and 17.09 tons/ha over the control, for an average increase of 11.86
tons/ha. Where Vitazyme was applied twice, yields increased by 13.36
tons/ha. See
Report on Vitazyme Effects & Results
of Vitazyme Extension Trials in Santiago de Cuba
Increased
Profitability
As is shown by these replicated
trials, Vitazyme can substantially increase profits in sugar cane,
producing a return on investment of between 10:1 and 14:1.
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