Sharp jump in sugar output

New Delhi: Sugar output in the country rose 26 per cent to 103.26 lakh tonnes in the October-December period of the current season compared with the same period of the previous year, according to industry body Isma.

Mills produced 81.91 lakh tonnes of the sweetener in the same period of the 2016-17 season (October-September). The Indian Sugar Mills Association (Isma) has pegged total output at 251 lakh tonnes for the 2017-18 season against 202 lakh tonnes last year. Consumption is estimated to be 250 lakh tonnes this year.

Releasing the latest data on Wednesday, Isma said the increase in output is mainly in two states - UP and Maharashtra.

Sugar output in Uttar Pradesh has increased to 38.80 lakh tonnes in October-December of this season from 26.78 lakh tonnes in the year-ago period. The average recovery rate of the sweetener remained higher in the state at 10.15 per cent. In Maharasthra, the output rose to 38.24 lakh tonnes from 25.35 lakh tonnes. Recovery stood at 10.23 per cent.

Till December 15, raw sugar imports for processing into white sugar stood at 2.35 lakh tonnes against 3 lakh tonnes permitted by the government in September. The mills have already produced 2 lakh tonnes of white sugar.

Total availability for the 2017-18 season is estimated at 291.76 lakh tonnes -an opening balance of about 38.76 lakh tonnes on October 1, 2017, estimated production of 251 lakh tonnes and 2 lakh tonnes of white sugar produced out of imported raw sugar.

Against this, considering a demand growth of around 2 per cent, sugar consumption during 2017-18 is estimated at 250 lakh tonnes and thus, the closing stock at the end September 30, 2018 is expected to be about 41.76 lakh tonnes.

This will be almost similar to the opening balance this year and will be just sufficient to meet the first two months' domestic consumption.

Production in Karnataka, the third biggest producer, rose to 16.17 lakh tonnes in October-December this year from 15.43 lakh tonnes last year. Output in Gujarat was at 3.70 lakh tonnes and Andhra Pradesh/Telangana at 1.90 lakh tonnes.


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