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Informist, Wednesday, Jul. 30, 2025

 

--Sugar federation: India Oct-Jul output 25.8 mln tn vs 31.6 mln tn year ago 

--Sugar federation: Peg 2024-25 India sugar output 26.1 mln tn vs 31.9 mln 

 

NEW DELHI – Mills in India produced 25.8 million tonnes of sugar during Oct-Jul, down 18.4% from 31.6 million tonnes produced in the same period a year ago, according to data from the National Federation of Cooperative Sugar Factories. Sugar output has declined significantly due to lower cane yields and fall in sugar recovery rate. 

 

Though most sugar-producing states have ended their operations, southern states such as Karnataka and Tamil Nadu have been crushing cane during the special sugar season from Jun-Sept. As a result, the federation expects the ongoing 2024-25 season ending September to close at 26.1 million tonnes, down 18.2% from 31.9 million tonnes last year. 

 

In the ongoing sugar season so far, mills in Karnataka have produced 4.06 million tonnes of sugar, down 21.3% from 5.16 million tonnes a year ago. Seven mills are running in the state as of Wednesday, compared to just one mill last year. For the entire sugar year, the federation estimates sugar output in Karnataka to be 4.2 million tonnes, lower than 5.3 million tonnes produced last year. The average sugar recovery rate in the state is seen at 8.05%, down from 9.30% last season. 

 

Meanwhile, sugar output in Tamil Nadu is 545,000 tonnes so far this season, down from 950,000 tonnes a year ago. Only 9 mills are operational in the state, compared to 11 units last year. The federation pegs sugar output in Tamil Nadu to be 700,000 tonnes, lower than 1.07 million tonnes last year. 

 

On the pricing front, ex-mill sugar prices have shown a downward trend since mid-May, the federation said. However, once the festival season begins, the federation expects sugar demand to rise and stabilise prices. "This would be crucial for mills to carry out essential off-season maintenance and prepare for the upcoming crushing season," the federation said. 

 

The federation also welcomed the launch of the National Cooperation Policy 2025 by Union Home Minister Amit Shah last week. The policy aims to triple the cooperative sector's contribution to GDP by 2034, establish cooperatives in every panchayat, and expand cooperative activities into insurance, tourism, green energy, and transport.

 

"With 83 actionable reforms, many of which are already being implemented, this policy is set to bring renewed strength and relevance to India's cooperative ecosystem." Harshvardhan Patil, president, National Federation of Cooperative Sugar Factories, said. 

 

The federation also lauded the Maharashtra government for giving its approval to establish multi-feed distilleries across the state. "This decision aligns with the National Bioenergy Policy and India's Ethanol Blending Programme, which now targets 30% blending by 2030," the federation said. India has achieved 20% ethanol blending in petrol, five years ahead of its original 2030 target, the government said last week.

 

Looking ahead, the federation is optimistic about the 2025–26 (Oct-Sept) sugar season amid a favourable monsoon. The Indian Sugar & Bio-energy Manufacturers Association will detail its estimates for the upcoming season on Thursday.  End

 

Reported by Afra Abubacker

Edited by Tanima Banerjee

 

 

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