Line a baking tray with baking parchment and set aside.
Heat the sugar and water in a heavy-based non-stick frying pan over medium-high heat, stirring with a wooden spoon until the sugar dissolves.
Bring to the boil without stirring until the syrup starts to thicken and bubble steadily.
Add the pine nuts, reduce the heat to medium-low and stir continuously with a wooden spoon.
Once the sugar has crystallised around the pine nuts, continue stirring until it melts again and forms a glossy caramel.
Remove the pan from the heat once the caramel is golden.
Carefully pour the caramel-coated pine nuts onto the prepared baking parchment and use two forks to separate them before they set.
Allow to cool completely at room temperature, then store in an airtight container.