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As on 15th December, 2017, 469 sugar mills were crushing sugarcane for the year 2017-18 SS against 449 mills last year same time.  They have produced 69.40 lac tons of sugar till 15th December 2017 in 2017-18 SS, i.e. 15.94 lac tons (29.8%) higher than the sugar production on the corresponding date of previous sugar season, of 53.46 lac tons of sugar. 

The sugar production, as on 30th November this year which was 41.4% higher than last year same time, is now 29.8% higher this year, on 15th December over last year same time.  The difference with last year is lower now by mid December 2017.

 ISMA estimates a normal sugar production of 251 lac tons in 2017-18 SS, as compared to a very low production of only 203 lac tons last year, and hence the higher production trend upto 15th December 2017.  It is totally as expected and estimated.

 In Maharashtra, 176 sugar mills are in operation and they have produced 25.50 lac tons of sugar till 15th December, 2017.  In 2016-17 SS, there were 144 sugar mills in operation as on 15th December, 2016 and they had produced 17.25 lac tons.  This is on expected lines as ISMA expects 74 lac tons of sugar production this season, as compared to only 42 lac tons produced last year.

 In Uttar Pradesh, 116 have produced 23.37 lac tons of sugar till 15th December, 2017 as compared to 115 sugar mills produced 17.66 lac tons last year on the corresponding period.   This small increase was expected as U.P. would be producing around 101.5 lac tons of sugar this year as compared to almost 88 lac tons produced last year.

 The third largest producer of sugar viz. Karnataka, have produced 11.50 lac tons of sugar till 15th December, 2017.  This is about 0.50 lac tons higher than the sugar production in 2016-17 SS as on 15th December, 2016.  During the current 2017-18 SS, 60 sugar mills are in operation as on 15th December, as compared to 59 operated on the corresponding date of 2016.

 As regards Gujarat, 17 sugar mills are in operation and they have produced 2.75 lac tons of sugar till 15th December, 2017.  In 2016-17 SS, as on 15th December, 2016, 19 sugar mills were in operation and they had produced 2.50 lac tons of sugar till that date.

 In Andhra Pradesh and Telangana, 20 sugar mills could start crushing till 15thDecember, 2017 and they produced about 1 lac tons of sugar till that date. Last year, similar number of mills were in operation on 15th December 2016 and they had produced same quantum of sugar.

 There are 13 sugar mills in Tamil Nadu in operation and sugar production till 15thDecember, 2017 was about 0.75 lac tons, as compared to 0.79  lac tons produced by 23 sugar mills as on 15th December, 2016.

 In regard to Bihar, Punjab, Haryana and Madhya Pradesh, there are 10, 16, 14 and 19 sugar mills are in operation respectively and they have produced 1 lac tons, 0.80 lac tons, 1.15 lac tons and 0.75 lac tons, respectively.

The initial rumours by a handful of people suggesting a specific figure of sugar production for next year 2018-19 SS had a negative impact on the market in the latter part of November and beginning of December 2017.  However, the market has now realized that only 10-15% of sugarcane for 2018-19 SS has been actually planted, and experts have agreed that the figures being suggested by a few people for the next season was misleading and too early to even talk about.

 With buying interest improving and also the stock holding limit on traders being removed, the market is expected to increase their buying, which can have a positive impact on the sales and market sentiments, which in turn is already having a stabilizing effect.



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