Sugar exports have jumped over 2.5 fold between October 2021 and February this year to 47 lakh tonnes on higher production and better demand of the Indian sweetener in the global market
Sugar exports have jumped over 2.5 fold between October 2021 and February this year to 47 lakh tonnes on higher production and better demand of the Indian sweetener in the global market, according to industry body ISMA.
Sugar marketing year runs from October to September.
Sugar exports stood at 17.75 lakh tonnes in the year-ago period.
“283.26 lakh tonnes of sugar have been produced till 15th March 2022 as against 259.37 lakh tonnes produced last year by 15th March 2021,” ISMA said in a statement.
As of March 15, 2022, 81 mills have stopped crushing and 435 sugar mills in the country were still crushing.
In Maharashtra, sugar production increased to 108.95 lakh tonnes from 94.05 lakh tonnes.
In Uttar Pradesh, it fell to 78.33 lakh tonnes from 84.25 lakh tonnes.
Sugar output in Karnataka rose to 54.65 lakh tonnes from 41.95 lakh tonnes.
On the ethanol front, against the total LOI (letter of intent) quantity of 416.33 crore litres, 113.17 crore litres of ethanol have been supplied till March 13, 2022.
Out of the total supply so far, about 86 per cent comprises ethanol made from sugarcane juice / B heavy molasses.
Mills have contracted to supply 391.85 crore litres so far compared to LOIs of about 416 crore litres issued by OMCs (oil marketing companies).
“The country on an average has achieved a blending percentage of 9.45 per cent till mid-March since December 2021,” ISMA said.
As per reports, around 64-65 lakh tonnes of sugar export have been contracted so far.
“Out of which, about 47 lakh tonnes of sugar have been physically exported from India up to end of February 2022 in the current sugar year, as compared to about 17.75 lakh tonnes exported last year during the corresponding period,” ISMA said.
Further, considering the pipeline, it is expected that physical exports by the end of this month maybe around 5556 lakh tonnes.
ISMA has estimated that the industry should be able to export a record 75 lakh tonnes of sugar in 2021-22 marketing year.
Considering estimated domestic consumption of 272 lakh tonnes and production of 333 lakh tonnes, ISMA said the export of 75 lakh tonnes will help reduce the closing stocks of sugar at 68 lakh tonnes by September 30, 2022.
“This will be 77 lakh tonnes lower to the stocks of 145 lakh tonnes Indian sugar industry had 3 years back on 30th September 2019,” the statement said.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
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