Last week I went for my annual trip to the London Docklands for the International Sugar Organization seminar about the economics of the sugar industry. Despite the world's economic problems, the sugar industry doesn't seem too gloomy. Although Michael Whitehead of Rabobank said that the capital-intensive nature of the sugar industry would cause problems -- you need to borrow a lot of money to build or upgrade a sugar factory (and to use it intensively to recover what you've spent), and farmers often need to borrow to invest in crop production -- he expected things to improve by 2010; and the evidence from previous recessions indicates that people still keep eating sugar when times are hard. Other speakers argued that continued growth in developing economies, resulting in rapid expansion of the middle classes in historically poor countries, would ensure that demand for sugar continued to increase.