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India’s sugar output projects to rise to in 2020-21: ISMA

Indian Sugar Mills Association (ISMA) in recent report has revealed that sugar output in India is expected to increase by 17.69 percent to 32.01 million tonnes during the season beginning October 2020 on likely higher availability of sugarcane for crushing.This is assuming normal rainfall and other optimum conditions during the remaining period. So far, India’s sugar output has reached 27.02 million tonnes in the ongoing 2019-20 season (October-September). About 1,50,000 tonnes of sugar production is expected by season-end, taking total output to 27.2 MT for this season. With the government relaxation in lockdown rules, sugar demand and prices seem to have reached normal. The ex-mill sugar prices, which had fallen to around Rs 31-31.50 per kg during the lockdown due to drop in domestic sales, have improved quite significantly to reach near the levels seen during pre-lockdown at around Rs 32-33.50 per kg.According to ISMA, sugar production in Uttar Pradesh, the country’s largest sugar producing state, is expected to decline marginally to 12.30 million tonnes in the 2020-21 season from 12.64 million tonnesin the current season. This is because there is likely 1 percent fall in sugarcane area to 2.292 million hectares this year and also yields and sugar recovery increase would be marginal, it said.But sugar production in Maharashtra, the country’s second largest sugar producing state, is expected to increase to 10.13 million tonnesin 2020-21 from 6.16 million tonnesthis season. Sugarcane area has gone up by about 43 per cent this year on account of good rains although 50,000 hectares cane area was completely lost due to floods in July- August 2019.