* Napier Brown's brands include Whitworths Sugar
* Puts Tereos in better position for opening of Europeanmarket (Adds details throughout, Tereos statement)
By David Brough and Sybille de La Hamaide
LONDON/PARIS, April 29 (Reuters) - French sugar maker Tereoshas agreed to buy sugar distributor Napier Brown Sugar fromBritain's Real Good Food for 34 million pounds ($52.27million), in a bid to put itself in a better position for thederegulation of the European market.
The protected EU sugar market will see a dismantling ofproduction quotas in October 2017, which will enable beet sugarproducers like Tereos to compete freely on world markets,potentially exporting refined sugar around the world.
"The changes taking place within the European sugar marketmean that the future of this business is best served by itbecoming part of an international production group," said PieterTotté, executive chairman of Real Good Food.
Tereos, the world's fifth largest sugar maker,said the deal would also strengthen its position in the UK, amajor market for French producers, by broadening its productrange and improving its distribution network.
Founded 90 years ago, Napier Brown is Europe's largestindependent sugar distributor and distributes around 300,000tonnes of sugar per year.
Tereos said the deal, subject to Real Good Foodshareholders' approval, was expected to complete by the end ofMay 2015.
($1 = 0.6505 pounds) (Editing by Louise Heavens)