India will consider allowing additional 1 million tonnes (mt) of sugar over and above the 6.1 mt already permitted if the domestic production reaches 33.6 mt. A decision may be taken next month after assessing the output as most of the crushing will end by then.
“In sugar season 2022-23 (October-September), India is expected to produce 33.6 mt sugar with diversion of about 5 mt for ethanol production. Thus, total sucrose production in the country would be 38.6 mt. Though it is a little less than last year’s sucrose production of 39.5 mt (35.9 mt sugar and 3.6 mt for ethanol), still it is the second highest in last five years,” the food ministry said in an official statement Monday.
Sugar production has already reached 24.7 mt between October and February and mills have despatched 4.3 mt for exports. Keeping in view the domestic consumption of about 27.5 mt of sugar and exports of about 6.1 mt, there is expected to be a closing balance of about 7 mt of sugar which is sufficient to meet domestic demand for about 3 months, an official said.
As far as sugar production is concerned, Maharashtra and Karnataka have got less sugar production this season due to reduced yield which can be attributed to ratoon crop as well as untimely rains during September-October 2022. However, some states like Tamil Nadu had higher production than last year.
“The government will take a call next month on allowing more quantities of sugar exports, after assessing domestic production,” a food ministry official said, adding that availability is comfortable in the domestic market. Both wholesale and retail prices of sugar are on a decline in the last one month, he said.
“More exports are possible and we have a cushion for exports of additional 1 mt, provided production reaches our estimate,” the official said.
Average wholesale price of sugar declined to $0,46 per kg on March 3 from $0,47 per kg a month ago while retail price is marginally down to $0,50 per kg from $0,51 per kg.
Import/Export Statistics
Please click to reach our marketplace
The following reports may be of interest to you:
Related posts:
Sugar Prices Could Rise Again in Europe 
Global Sugar Prices Surge to Near 6-Year High on Output Fears Funds return to buy; Indian sugar export quota ‘almost’ exhausted 
India Exports 1.692 Million Tons of Sugar Till January 4 of 2022-23; Over 59K Tons to China 
6 Million Tonnes of Sugar from India will be Allowed for Exports DGFT issues a notice retaining the commodity under negative list 
India’s Sugar Exports Reached 10.98 Million Tonnes in 2021-22 
India’s Sugar Production – 30,987 Million Tonne Global market is expecting 8,5 million tonne of sugar exports from India 
Indian sugar enters Egyptian market to fill Brazil’s void 
Sugar Exports of India Seen at record 7 Million Tonnes despite Covid Setbacks About 6,67 Million tonnes shipped in the first 11 months