India will remain in sugar export market, says government official
India will remain in the sugar export market, with a bumper sugarcane crop expected next year, according to a government official. The government recently approved the export of 10 LMT of sugar, boosting the industry. The move has stabilized sugar inventories and aided millers financially, though India’s exports are impacting sugar prices in the Middle East.
India will remain in the sugar export market, according to the government official.
“All indications are that we will have a bumper sugarcane crop next year,” stated Ashwini Srivastava, joint secretary at Department of Food and Public Distribution, during his address at the Dubai Sugar Conference on Wednesday, reported Bloomberg. “We will remain in the export market.”
Recently, in a move likely to ease the financial pressure on sugar millers, the government approved the export of 10 lakh metric tonnes (LMT) of sugar. Export quota of 10 LMT have been prorated amongst those sugar mills which operated in at least one sugar season amongst the last three sugar seasons by taking into account their average production of sugar during the last three operational sugar seasons i.e. 2021-22, 2022-23 and 2023-24. All the sugar mills have been allocated a uniform export quota of 3.174% of their 3 years average production of sugar.
The export decision has provided a much-needed boost to the sugar industry in India. According to the ISMA (Indian Sugar and Bio Energy Manufacturers Association), the export allowance has helped balance sugar inventories and provided financial stability to sugar mills, enabling them to make prompt cane payments.
During the conference, speaking on India’s export performance, Al Khaleej Sugar’s Managing Director, Jamal al-Ghurair, stated that India’s return to the global market as an exporter was weighing on sugar prices in the Middle East.
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Source : Chinimandi
