Sugar Production
India sugar output up 22% YoY as of Jan 15; production progress 'steady', says ISMA
This story was originally published at 14:37 IST on 16 January 2026
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--ISMA: India Oct 1-Jan 15 sugar output 15.9 mln tn vs 13.0 mln tn year ago
--ISMA: 518 mills crushing cane as of Jan 15 vs 500 year ago
--ISMA: Maharashtra Oct 1 Jan 15 sugar output 6.5 mln tn vs 4.3 mln yr ago
--ISMA: Uttar Pradesh Oct 1-Jan 15 sugar output 4.6 mln tn vs 4.3 mln yr ago
--ISMA: Karnataka Oct 1-Jan 15 sugar output 3.1 mln tn vs 2.7 mln year ago
NEW DELHI – India's sugar production in the ongoing 2025-26 (Oct-Sept) season rose nearly 22% on year to 15.9 million tonnes as of mid-January, supported by higher sugarcane availability, improved productivity, and smooth operations of mills, the Indian Sugar & Bio-Energy Manufacturers Association said Friday.
The sector has made "steady progress" in sugar production so far in the season, ISMA said. The number of operational sugar mills has also edged up slightly, with 518 mills currently crushing compared with 500 units a year ago, it added.
As of Jan. 15, Maharashtra's sugar production substantially improved to 6.45 million tonnes, up 51% on year. The state has reported the highest crushing rate this season, and has 204 operational mills, against 196 units in the corresponding period a year ago.
In Uttar Pradesh, sugar output as of mid-January was 8% higher on year at 4.6 million tonnes, ISMA said. This is despite a marginal decline in operational mills at 119, compared with 122 units a year ago. Karnataka, another major sugar producer, also recorded "improved crushing momentum", with output up 13% on year at 3.1 million tonnes. The state had 74 operational mills as of Jan. 15, against 73 units a year ago.
The smaller sugar-producing states, such as Gujarat and Tamil Nadu, also recorded higher on-year production. As of Jan. 15, Gujarat's sugar output was 386,000 tonnes, up 3.5% on year, and Tamil Nadu output was 185,000 tonnes, up over 42% on year.
"Overall, the season so far reflects stable operational progress and a cautiously optimistic outlook for the industry," ISMA said. For the entire 2025-26 season ending September, ISMA has estimated gross sugar production to rise 16% on year to 34.35 million tonnes. Mills are estimated to divert 3.4–3.9 million tonnes of sucrose or sugar for ethanol production.
Amid higher production, ex-mill sugar prices in Maharashtra and Karnataka have further declined to around INR 3,550 per 100 kilograms, which is significantly below the current cost of production, ISMA said, reiterating its demand for an upward revision in the minimum selling price of sugar from INR 31 per kg.
The association also urged for higher ethanol allocation and a revision in ethanol procurement rates to improve distilleries' capacity utilisation and financial liquidity. End
Reported by Afra Abubacker
Edited by Tanima Banerjee
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