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Country’s Sugar Exports Declined by more than 40% for 2020-21 Sugar Year, Says ISMA

Chintu Das
Chintu Das
Sugar Supply

Indian Sugar Mills Association (ISMA), said that Indian sugar mills shrinked 41 percent of the allotment apportioned to sugar exports for the 2020-21 sugar year that started on October 1st. In the 2020-21 sugar season till February 15 the country's progressive annual sugar production is 23 percent higher than the past year.

"Till February 15th 2021, the sugar mills generated 208.89 lakh tons of sugar in comparision to 170.01 lakh tons delivered on the comparing date of previous year. Out of 497 sugar factories which had begun pounding in 2020-21 SS, 33 sugar plants have quit squashing tasks because of non-accessibility of sugarcane. A year ago, 447 sugar factories had worked, out of which 20 had quit pounding on the relevant date a year ago," said ISMA discharge.

The ISMA statement says that out of a total of 497 sugar mills that started crushing sugarcane, 33 sugar mills quit crushing because of the non-availability of sugarcane. Last year, there were 447 sugar factories, 20 among which ended crushing last year.

As at 15th February 2021, 183 sugar mills in Maharashtra had generated a total of 75,46 lakh tonnes of sugar, down from 43,38 litres of lakh recorded in the same period past year. Two sugar mills have suspended operational activities in the current year. 140 mills were in operation last year, 5 of which on the corresponding day had ended crushing.

Uttar Pradesh as of now has 116 sugar mills in service and 4 miles have stopped crushing. The state-owned mills generated 65,13 lakh tonnes of sugar by 15th February 2021, in contrast to 66,34 lakh tonnes generated by 119 mills in the last year.

In Karnataka, 66 sugar mills began to operate and manufactured 39.07 lakh of sugar until 15 February 2021, compared to 30.80 lakh of sugar manufactured in 63 sugar mills in the same time last year. Of a total of 66 sugar mills that crushed this season, 17 sugar mills have already stopped crushing as on 15th February 2021. Of the 63 operational sugar factories, 13 sugar factories finished their crushing activities by 15 February2020 last year.

The release stated, "As per industry estimates, about 7 lakh tons of sugar are being physically exported from India upto 31st January’ 2021 in the existing sugar year beginning from 1st October’ 2020, which also involves exports towards 2019-20 SS MAEQ, which was stretched up to 31st December’2020. It is estimated that approximately 4 lakh tonnes were exported from overall exports made to date under the new export strategy."

Reports of trade, ISMA said, have been contracted for some 25 lakh tonnes of export of sugar. Citing reports from the trade exchange, ISMA said, about 25 lakh tonnes of sugar trade have been accounted for. "This is a very promising development, given that only 45 days have progressed since the export allocations were declared on 31st December, 2020 for the latest season. Indonesia accounts for a large portion of the agreed exports. After the clarity requested by the Ministry of Commerce for exports to Iran has been obtained, India can see several more export agreements take place quite rapidly. "The Ministry of Commerce will provide confirmation on exports to Iran very soon," the ISMA release said.

ISMA further said OMCs are experiencing challenges in raising ethanol from sugar mills, despite allocating approximately 325 crore litres of ethanol supplies in 2020-21."OMCs and their depots do not appear to be fully prepared for the use of more ethanol, particularly in newer depots and states. Nevertheless, we anticipate the OMCs to resolve the issue soon as in the past. During the lockdown, they took timely action to deprive supplies of any effect of the same."

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