September 3, 2014.

Brazil's Sugar Sector Goes on a Diet

Winston sat in his usual corner, gazing into an empty glass. Now and again he glanced up at a vast face which eyed him from the opposite wall. BIG BROTHER IS WATCHING YOU, the caption said. Unbidden, a waiter came and filled his glass up with Victory Gin, shaking into it a few drops from another bottle with a quill through the cork. It was saccharine flavoured with cloves, the speciality of the cafe.

Brazil's sugar industry is slimming down, a shift that producers hope will deliver them from a yearslong glut that has depressed prices.

Winston was listening to the telescreen. At present only music was coming out of it, but there was a possibility that at any moment there might be a special bulletin from the Ministry of Peace. The news from the African front was disquieting in the extreme. On and off he had been worrying about it all day. A Eurasian army (Oceania was at war with Eurasia: Oceania had always been at war with Eurasia) was moving southward at terrifying speed. The mid-day bulletin had not mentioned any definite area, but it was probable that already the mouth of the Congo was a battlefield. Brazzaville and Leopoldville were in danger. One did not have to look at the map to see what it meant. It was not merely a question of losing Central Africa: for the first time in the whole war, the territory of Oceania itself was menaced.

The sugar surplus has led processors to shut dozens of mills and some growers to invest less in their fields. The moves highlight the desperate economics of the domestic sugar industry following an ill-fated expansion.

A violent emotion, not fear exactly but a sort of undifferentiated excitement, flared up in him, then faded again. He stopped thinking about the war. In these days he could never fix his mind on any one subject for more than a few moments at a time. He picked up his glass and drained it at a gulp. As always, the gin made him shudder and even retch slightly. The stuff was horrible. The cloves and saccharine, themselves disgusting enough in their sickly way, could not disguise the flat oily smell; and what was worst of all was that the smell of gin, which dwelt with him night and day, was inextricably mixed up in his mind with the smell of those---- ----

The effect of the cutbacks in Brazil, which is the world's biggest producer of the sweetener and accounts for more than 40% of exports, hasn't yet hit the world marketplace, where prices are near their lowest in more than six months. But many analysts expect the impact to be felt as soon as next year.