|
|
|
You can get e-magazine links on WhatsApp. Click here
|
|
|
|
|
|
Sugar production drops by 16.9% to 26.52 million tonnes this season
|
|
Tuesday, 04 February, 2025, 08 : 00 AM [IST]
|
|
Ashwani Maindola, New Delhi
|
The sugar production is estimated to be 26.52 million tonnes this season, which is 16.9 per cent less than the estimated 31.9 million tonnes of the previous season.
According to Shankar Thakkar, national secretary, CAIT, India's sugar production may decline by 17 per cent to 26.52 million tonnes in 2024-25.
He said that the All India Sugar Trade Association has estimated sugar production this season (October-September) at 26.52 million tonnes, 16.9 per cent lower than the 31.9 million tonnes estimated for the previous season. It has also lowered the closing stock estimate to 4.5 million tonnes for the period up to September 30, 2025.
The trade body said that net sugar production also includes sucrose diversion for ethanol production, which is estimated to be around 4 MT. The main reason for the decline in sugar production in Uttar Pradesh in the current season is the spread of red rot disease in the western region and floods in the eastern region, low polarisation (POL) in sugarcane leading to low sugar recovery.
The trade body's estimates peg sugar consumption at 29 million tonnes, exports at 1 million tonnes and carryover stock for 2023-24 season at 7.98 million tonnes. Total availability for the domestic market excluding exports is estimated at 33.5 million tonnes.
According to the National Federation of Cooperative Sugar Factories (NFCSF), about 148.21 million tonnes of sugarcane has been crushed between October 1, 2024, and January 15, 2025, which is 8 per cent less than 161.28 million tonnes in the same period last year. Total sugar production during the same period in the current season was 13.06 million tonnes, which is 13.65 per cent less than 15.12 million tonnes a year ago.
As per the latest crushing report of NFCSF till January 15, 507 mills are crushing sugarcane this year, while this figure was 524 a year ago. Although 122 mills are operational in Uttar Pradesh this year as against 120 last year, the number of mills operational in Maharashtra this year is 196 as against 206 a year ago. However, the number of mills operational in Karnataka this year is 77 as against 74 last year. Uttar Pradesh, Maharashtra and Karnataka are the top three sugar producers in the country, with a combined share of about 80 per cent in national production.
Thakkar criticised the decision taken by the government to increase the price of ethanol made from molasses.
“With the increase in the price of ethanol, the use of sugarcane will increase for making ethanol. On the other hand, the production is low, so there is a possibility of increasing the price of sugar. And if the price of ethanol is not lower than crude oil, then it will not be justified to mix it in petroleum products. That is, by purchasing at prices close to the price of petroleum products made from crude oil, the government may be in a position of loss. Therefore, the government should reconsider this decision,” stated Thakkar.
|
|
|
|
|
|
|
|
|
|