Mauritius wants to diversify sugar biz; inks pact with India

Facing crisis in the sugar sector, Mauritius today signed a pact with India -- the world's second biggest producer of the sweetener, to gain expertise and support for diversifying the sugar business, especially of cooperative mills in the island nation.

The sugar sector in Mauritius is in trouble on rates falling sharply amid fears that it would lose the big export market after 30 years if the EU scraps its quota for the 2017-18 season.

The MoU was signed between Mauritius Business and Cooperative Minister Soomilduth Bholah and India's Agriculture Minister Radha Mohan Singh here today.

It enables two countries to collaborate not only in the sugar sector but also in other agro-based industries, fisheries and dairy sector.

"We will lose export market if the EU agreement comes to an end this year. Sugar prices have fallen significantly.

Farmers are not getting enough returns and they are demotivated to grow sugarcane," the Mauritius Minister told media after the meeting.

In fact, sugarcane lands are left barren and the island country needs to "modernise" the sugar sector and go for diversification in order to protect farmers, he said.

Under the MoU the island nation seeks to get India's expertise and technology know-how for capacity building and training to revive cooperative sugar mills, which comprises 39 percent of the sugar industry, Bholah said.

Mauritius produces 4,00,000 tonnes of sugar per annum.

Besides sugar sector, the Mauritius government wants to modernise its dairy sector and reduce its dependence on import of milk and milk products.

"Cows in our country are reared in backyard. The foot and mouth disease has affected the sector badly. Over 90 percent of milk and milk products are imported. We want to modernise and we are seeking support from cooperative dairy sector from India," he said.

According to sources, the Mauritian Minister is planning to meet Mother Dairy officials as well as dairy cooperative in Maharashtra and looking for tie-ups with Indian universities for training and education in dairy sector.

Talking about the MoU, India's Agriculture Secretary Shobhana K Pattanayak said, "Mauritius wants capacity building, training and education with regard to cooperatives working in sugar, dairy and other agri-based sectors. The MoU aims to work in these areas." The MoU is for five years and modalities will be worked out soon, he added.