Last year, India, the world’s biggest sugar producer after Brazil, banned exports of the sweetener for the 2022-23 season, halting shipments for the first time in seven years, as a drought cut cane yields and hit output.
Sugar production stood at 28.45 million tonne in the same period of the 2021-22 marketing year. The sugar marketing year runs from October to September.
In a statement, Indian Sugar Mills Association (ISMA) said sugar production in 2022-23 is estimated at around 340 lakh tonnes after diversion of 45 lakh tonnes of sweetener towards ethanol manufacturing.
In May, the government had imposed restrictions on export of sugar beyond 100 lakh tonnes, but later allowed another 12 lakh tonnes of shipments, taking the total to 112 lakh tonnes for 2021-22.
While the country has contracted 72 lakh tonne of sugar export, the physical exports have been around 56-57 lakh tonne till March-end this year, ISMA said.
Sugar production in India, the world’s second-largest sugar-producing country, stood at 108.94 lakh tonnes till January 15 of the 2019-20 marketing year (October-September).
India is the world's biggest sugar consumer. However, the per capita sugar consumption is around 19 kg per person, lower than the average of 23.5 kg in other countries.
The world's biggest consumer of the sweetener is likely to produce 31MT of sugar in the new season, nearly 13 percent more than a year ago, the Indian Sugar Mills Association (ISMA) said in a statement.
The country's sugar output could rise to 30.5 million tonnes in the marketing year starting from October 1, up from 27.2 million tonnes this year, the Indian Sugar Mills Association (ISMA) said in a statement.
Indian Sugar Mills Association (ISMA) has trimmed the country's 2016-17 sugar production forecast for the third time this marketing year today, citing lower cane supply in drought-hit states like Maharashtra.
Lower sugar output in India, the world's biggest producer behind Brazil, could exacerbate shortages and further push up prices of the sweetener.
Sugar production in India, the world's second largest producer after Brazil, is estimated to decline by 10.27 per cent to 22.52 million tonnes in ongoing season, but stock availability will be sufficient to meet the domestic demand, Food Minister Ram Vilas Paswan said today.
Sugar production stood at 1.87 lakh tonnes in the same month of the 2015-16 season (October-September).
Despite fall in production due to drought in last two consecutive years, Indian Sugar Mills Association (ISMA) said there is no need to import sweetener as the country has enough stock to meet domestic demand.
At the National Commodity and Derivatives Exchange, sugar for delivery in July declined by Rs 9 or 0.25 per cent to Rs 3,622 per quintal with an open interest of 35,790 lots.
The government yesterday imposed a 20 percent export duty on sugar to curb outbound shipments, which had become viable after a sharp rise in global prices over a past few months.
According to trade sources, sugar exports have become viable now as global prices have increased by about 50 percent in the last three months due to disruption in supply from Brazil.
Marketmen said sufficient stocks position on the back of increased supplies from mills mainly kept pressure on sugar prices.
India's sugar production is likely to fall by 4 percent to about 24 million tonnes in the next marketing year starting October due to lower cane output, but there will not be any need to import as the country has sufficient stock, according to industry body ISMA.
In an interview with CNBC-TV18, market expert SP Tulsian gave his stock picks and shared his outlook for the market going forward.
The country exported 1.15 MT during the October-March period and another 3,00,000 tonnes is expected to be shipped in next couple of months, sugar industry body ISMA said.
Sugar mills have received contracts to export 14 lakh tonnes (LT) of the sweetener since October and are likely to ship out another 5-6 LT by the end of the season in September.
Sugar mills have so far contracted 1.4 million tonnes for exports and another 500,000 tonnes to 600,000 tonnes could be shipped by September end, the Indian Sugar Mills Association said.
Out of 513 sugar mills, 107 mills have so far shut their operations, mostly in Maharashtra due to scarcity of sugarcane in view of deficient monsoon last year.