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Indicative Advances Program - 2018 Season

The current indicative ‘Advances Payments’ program for the Target Price Pool, Individual Futures Contract Pool, Guaranteed Floor Pool and all other pools for the 2018 season is reported below.  The program represents the average returns for all pools and pricing platforms for raw sugar supplied under the RSSA, On-Supply Agreements and Grower EI Sugar Supply Agreement. Suppliers are paid a proportional amount of QSL’s then current estimate of the forecast final weighted average pool price the Supplier will receive for raw sugar supplied under these agreements, with some exceptions. The 2018 season will continue with an Accelerated Advances Program for the Target Price Pool, Individual Futures Contract Pool and Guaranteed Floor Pool whereby participants in that pool will receive 90% of the pool value by December 2018 where so elected. Suppliers to the Target Price Pool and Individual Futures Contract Pool will have the option of selecting the accelerated advances program or remain with the standard advances program.

 

The QSL Board reviews the program periodically to determine whether increases to the program can be approved.  The current advance rate is 72.5% and will be applied to pool prices as at 26 October 2018. The December advance rate of 75.0% was approved at the November Board meeting. The December advance rate will be applied to the pool prices as at 30 November 2018. 

 

The program below is indicative only in its entirety and should not be taken as a commitment by QSL with regard to either the advance rate or date of increase. The program may change during the season depending on movements in the marketing and shipping plans, sugar price and currency movements and timing of cash flows. Suppliers’ positions in relation to any pricing elections may also impact the timing and size of advance payments.