Sucros and MTK conclude negotiations on new sugar beet pricing model in Finland

The pricing structure for sugar beets will change next year. Negotiations between the sugar company Sucros and the Central Union of Agricultural Producers and Forest Owners (MTK) regarding the sector agreement for the upcoming year have been concluded. Starting next year, all cultivation contracts will follow a one-year variable pricing model. The agreement guarantees a base price of €35 per ton of clean beets. Any potential additional price will be tied to the operating profit of the Sucros Group. For every €1 million increase in operating profit, the beet price will also rise by approximately €0.68 per ton.

In response to the challenging sugar market situation, Sucros aims to ensure a guaranteed price for farmers while also sharing potential additional profits directly with them, explained Fanni Heinonen, agricultural director at Sucros, in a press release.

Sucros and MTK have a long-term goal of increasing sugar production at the Säkylä plant. This year alone, Sucros has welcomed 270 new contract farmers, and the company hopes to maintain this positive trend. About 80% of Finland’s sugar beet crop is cultivated in Southwestern Finland and Satakunta, with additional farming occurring in Häme and Ostrobothnia. The Säkylä plant processes approximately 500 million kilograms of sugar beets annually. Sucros is part of the Nordzucker Group, one of Europe’s leading sugar companies.