India to boost sugar export cap this yr amid excessive manufacturing; ship 1.2 mln tonnes of extra sweetener

The federal government will enable an additional 1.2 million tonnes of sugar exports, Meals Secretary Sudhanshu Pandey mentioned on the sidelines of an occasion in New Delhi.

In late Might, the federal government had restricted sugar shipments at 10 million tonnes on this advertising yr to take care of home availability and worth stability.

The trade has been demanding that the export cap needs to be stretched.

Sugar mills have already exported almost 10 million tonnes to date — an all-time excessive — within the present advertising yr and the exports are prone to contact 11.2 million tonnes, the meals ministry had mentioned in an announcement earlier this week.

The exports of the sweetener stood at 7 million tonnes within the 2020-21 advertising yr, up from 5.96 million tonnes within the earlier yr.

Trade physique Indian Sugar Mills Affiliation (ISMA) has estimated that India’s sugar manufacturing may fall barely to 35.5 million tonnes within the 2022-23 advertising yr, beginning October, because of the diversion of sugarcane in direction of ethanol manufacturing.

Sugar output is estimated at 36 million tonnes within the present advertising yr ending September.

Earlier than contemplating diversion in direction of ethanol, internet sugar manufacturing is estimated to be greater at 39.99 million tonnes in 2022-23 in opposition to 39.4 million tonnes within the present 2021-22 advertising yr.

ISMA estimates that the diversion of cane juice and B-molasses to ethanol will scale back sugar manufacturing by about 4.5 million tonnes within the subsequent 2022-23 advertising yr.

Within the present 2021-22 advertising yr, about 3.4 million tonnes of diversion has been estimated.

The annual home demand is seen at round 27.5 million tonnes in 2022-23, which can depart a surplus of about 8 million tonnes for exports.


(With inputs from PTI)