India's sugar output falls 35% YoY to 2.8 mln tn as of Sat - mill federation
This story was originally published at 19:05 IST on 2 December 2024
Register to read our real-time news.Informist, Monday, Dec. 2, 2024
NEW DELHI – India's sugar mills produced 2.8 million tonnes of the sweetener as of Saturday, down 35% on year from 4.3 million tonnes produced in the same period a year ago, National Federation of Cooperative Sugar Factories data showed. The lower production is primarily due to fall in the number of operational mills in Maharashtra to 124 from 172 units last year.
Mills in Maharashtra delayed crushing of sugarcane as they were worried about payment of arrears to farmers due to financial challenges. Citing rise in fair and remunerative prices of sugarcane, the sugar industry has been demanding an increase in the minimum selling price of sugar. To buy sugarcane, mills have to pay farmers prices decided by the Centre.
Due to the delay in start of crushing operations and lesser number of operational mills, Maharashtra's sugar production has fallen drastically by 65% to 460,000 tonnes from 1.35 million tonnes. In the current sugar year, the federation sees the state's sugar production in 2024-25 at 8.7 million tonnes, compared to 11.02 million tonnes produced a year ago.
Across India, 381 mills were operational as of Saturday, against 433 mills during the corresponding period last year. So far this season, mills across the country have crushed 33.3 million tonnes of sugarcane, compared to 51.2 million tonnes a year ago. The country's average sugar recovery rate was 8.4%, largely unchanged from last year, the federation said.
In Uttar Pradesh, 118 mills had produced 1.3 million tonnes of sugar as of Saturday, largely unchanged from last year. Though eight more mills were running as of Saturday in the state, sugar production remained unchanged from last year due to fall in the average sugar recovery rate. For the entire year, the federation estimates the state's sugar production at 9.8 million tonnes, down from 10.37 million tonnes a year.
In Karnataka, 72 mills had produced 700,00 tonnes of sugar as of Saturday, compared to 1.1 million tonnes of sugar produced by 73 mills a year ago. The state's sugar production fell due to a 40% decline in sugarcane crushed so far this season. For the entire year, the federation estimates Karnataka's sugar output at 4.5 million tonnes, down from 5.3 million tonnes last year.
The federation pegs India's net sugar production in 2024-25 at 28 million tonnes, down 12% from 31.9 million tonnes produced last season. Net production is the amount of sweetener produced after diversion of sucrose for ethanol production. End
Reported by Afra Abubacker
Edited by Ashish Shirke
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.
Informist Media Tel +91 (11) 4220-1000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2024. All rights reserved.
To read more please subscribe
Share this Story:
