Hungary starts new sugar production season amid low prices
Hungary’s only sugar factory in Kaposvár has started its new sugar beet processing season. The industry enters the campaign amid a prolonged decline in sugar prices and challenging growing conditions.
In 2026, Hungarian farmers planted 10.9 thsd ha of sugar beet, broadly in line with last year. The EU forecast yields at 50 t/ha in August, although Magyar Cukor expects a lower result.
At the same time, beet quality is considered strong, with tests showing high sugar content. The processing campaign typically lasts 60–65 days, with raw material delivered to the factory roughly equally by rail and road.
Magyar Cukor Zrt., controlled by Austria’s Agrana, continues to modernise the plant to improve processing efficiency. However, growers and processors remain under pressure from regional oversupply and low sugar prices.
The current 10.9 thsd ha of sugar beet is considered insufficient for the plant’s stable long-term operation. Local authorities estimate that the area needs to increase to 13.5–14 thsd ha.
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