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EWZS - Consolidation In The Sugar Market - Watch The Real
iShares MSCI Brazil Small-Cap ETF
Sugar is a member of the soft commodity sector of the raw materials asset class. The sweet commodity is a staple and an ingredient in many of the foods people all over the world eat each day. While many nations around the world subsidize the price of sugar, the world's leading sugarcane producer, Brazil, depends on the free-market world price of sugar.
There can be significant price differences in the price of sugar when it comes to subsidies. An example is the price of US subsidized sugar futures, which trades as the number 16 contract.