1. Commodity News

Sugar Production Increases by 60%, Reached 74 Lakh tonnes by Dec 15

Chintu Das
Chintu Das
Sugar Industries
Sugar Mills

Sugar factories in the nation delivered around 74 lakh tons of sugar till December 15, 2020 which is almost 61 percent more than 46 lakh tons produced a year ago, Indian Sugar Mills Association (ISMA) said.

Whilst 118 factories in Uttar Pradesh delivered 22.6 lakh tonnes of sugar as 21.25 lakh tonnes created by 119 plants in a similar period a year ago, the sugar creation in Maharashtra, where 173 factories are at present pulverizing, was 26.96 lakh tonnes. The State, which initiated smashing later a year ago because of lower accessibility of sugarcane, delivered just 7.66 lakh tonnes in a similar period.

The 3rd biggest sugar producing state is Karnataka and the same produced a total of 16.65 lakh tonnes this year. Like Maharashtra, even Karnataka was hit bad last year. Other states contributed a total of 7.56 lakh tonnes until now. Sugar season of our country lies between the months of October and September in the following year.

Sugar Exports and Minimum Selling Price:

ISMA said, currently, around 2.5 to 3 lakh tonnes of sugar have been exported in the current year of production after 1st of October, which will be represented against the MAEQ of last season as the export policy for a year ago was stretched out up to December 31, in this manner completely accomplishing the objective of 60 lakh tons of sugar export set for the past sugar season.

 

It, nonetheless, said the business industry is anticipating the government decision on the increment in minimum selling price (MSP) of sugar, which was last amended just about 2 years back. From that point forward the govt. has heightened the FRP of sugarcane by Rupees10 per quintal for the current year, there is need to build the MSP of sugar to Rupees 34.50 per kilogram in the wake of considering the elevated FRP of sugarcane for the current season.

INMA added, the ex-mill sugar prices are feeling the squeeze in most of the producing states and to guarantee that sugar mills can pay the farmers on schedule, there is an urgency to rapidly settle on increasing the MSP of sugar.

Arrears:

The apex sugar industry body said, "the late choice on MSP has influenced the cane installment payment capacity of the sugar mill operators. The current cane unpaid debts are accounted to be around Rupees 3,500 crore and if MSP isn't increased rapidly, the arrears will hop quickly to unwanted levels..

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