According to a prominent industry association on Tuesday, Indian mills produced 11.21 million metric tons of sugar between October 1 and December 31, which was 7.6% less than the previous year due to lower production in major producing states Maharashtra and Karnataka.
According to a statement from the National Federation of Cooperative Sugar Factories, Karnataka’s sugar production decreased by 10.1% to 2.4 million tons, while Maharashtra’s production decreased to 3.82 million tons from 4.74 million tons.
Due to poor rainfall this crop year, traders and a survey of farmers predict that India’s sugar output will fall short of consumption for the first time in seven years. Reduced plantings could even compel the world’s second-largest producer to import sugar the following year.
According to the report, when mills began operating earlier, production in the northern state of Uttar Pradesh increased by 12.5% to 3.5 million tons.
According to the Economic Times, A survey of farmers and dealers indicates that this crop year, India’s production of sugar is expected to fall short of consumption for the first time in seven years due to poor rainfall. Reduced plantings could possibly compel the world’s second-largest producer to import sugar the next year.
In an effort to minimize disruptions to its ambitious biofuel project, New Delhi has decided to permit sugar mills to shift up to 1.7 million tons of sugar for the production of ethanol.
India, which is extremely vulnerable to food inflation, is expected to impose a limit on sugar exports, marking the first export restriction since 2016, in light of Prime Minister Narendra Modi’s upcoming election in 2019.
According to a prominent industry association on Tuesday, Indian mills produced 11.21 million metric tons of sugar between October 1 and December 31, which was 7.6% less than the previous year due to lower production in the major producing states of Maharashtra and Karnataka.
According to a statement from the National Federation of Cooperative Sugar Factories, Karnataka’s sugar production decreased by 10.1% to 2.4 million tons, while Maharashtra’s production decreased to 3.82 million tons from 4.74 million tons.
Due to early mill openings, production in the northern state of Uttar Pradesh increased by 12.5% to 3.5 million tons, according to the report.
Due to poor rainfall this crop year, traders and a survey of farmers predict that India’s sugar output will fall short of consumption for the first time in seven years. Reduced plantings could even compel the world’s second-largest producer to import sugar the following year.
India has made the decision to permit sugar mills to shift as much as 1.7 million tons of sugar toward the manufacturing of ethanol in an effort to minimize disruptions to New Delhi’s massive biofuel initiative.
