According to media reports, 439 sugar mills across the country are busy crushing sugarcane and producing sugar. Compared to last year, sugarcane production increased by almost 89 lakh tonnes (17.67 per cent) and sugar production also increased by 2.90 lakh tonnes (6.38 per cent).
The National Federation of Cooperative Sugar Factories (NFCSF) projects the sugar production at the end of the current season to be 357 lakh tonnes hoping that the reports of decrease in the sugar production will not have adverse impact on the domestic market.
However, a knowledgeable source is quoted as saying a clear picture of sugarcane and sugar production could emerge only after completion of at least 60 days of actual crushing.
However, given the prolonged monsoon rains, the delayed announcement of the new sugar export policy of the Central government and the severe cold weather at the beginning of the season, experts seem to be predicting a decline in sugar production in the country.
Considering increase in sugarcane area, proportion of ratoon and the weather impact on ground, the National Federation of Cooperative Sugar Factories has estimated that the expected sugar production at the end of the current season will be 357 lakh tonnes, said the President of the NFCSF Jaiprakash Dandegaonkar.
It is said opening balance of 61.53 lakh tonnes, sugar diversion of 45 lakh tons in ethanol, local consumption of 275 lakh tonnes and estimated sugar exports of 75 lakh tonnes, the closing stock for the season ending 30 September 2023 is estimated at 71.53 lakh tonnes, which is estimated to be merely 10 lakh tonnes more.
Therefore, it may not have much adverse effect on the selling price of sugar in the local market at the factory level as well as the purchase price at the retail level,” asserted Prakash Naiknavare, Managing Director of National Federation of Cooperative Sugar Factories.
Incidentally India is one of the world’s largest sugarcane and sugar producing countries.