Star Cyberpower fills sugar void

Hong Kong-listed Star Cyberpower believes a shortfall in the mainland sugar supply may push more buyers to source the commodity on-line.

'The shortfall of sugar is about three million tonnes in the mainland this year,' said chairman Wong Kam-fu, whose company provides technology support to a mainland sugar-trading Web site.

The shortfall had resulted from a failure to raise domestic supply after restrictions were imposed on the use of chemical sugar substitutes, Mr Wong said.

The tight supply meant sugar buyers would need to seek a more effective channel to fill their warehouses, and the Internet certainly was an option, Mr Wong said.

'Through the Internet buyers can know the distribution of sugar reserves throughout the country and make a bid online.'

The government-backed China National Sugar & Wines Group will launch a sugar trading portal - 178178.com - next month to capitalise on the opportunity. Star Cyberpower will provide a service bureau platform for the site through a 32.5 per cent-owned joint venture.