Mills want export ban to go after bumper sugar output
In Kolhapur, sugar mills urged the Centre to lift the sugar export ban and ethanol production restrictions for the 2024-25 season to stabilize prices. This follows a production of 110 lakh tonnes in 2023-24, up from 105 lakh tonnes the previous season. Despite expected declines, untimely rain boosted production, with the recovery rate rising to 10.27%. Sharad Lad from Kranti Sugars emphasized the need to export sugar to manage expenses and support farmers.
Kolhapur: Sugar mills want the Centre to lift the ban on sugar exports, along with restrictions on ethanol production in the 2024-25 season to avoid any drop in sugar prices and keep the commodity available in the market.
This demand comes after a total of 207 sugar mills in the state produced 110 lakh tonnes of sugar for the 2023-24 season, compared to 105 lakh tonnes of sugar in the 2022- 2023 season.
The crushing season, which began on Nov 1 last year, ended on Thursday (May 16) in Maharashtra.
Experts expected the sugar cane production to nose dive by 15 lakh tonnes in the 2022- 23 season, however, untimely rain in the sugar cane belt between Oct to Dec increased production.
The recovery rate of sugar increased to 10.27% in the 2023-24 season from 9.98% in the 2022-23 season.
Recovery rate refers to the amount of sugar produced from 1 tonne sugar cane. The mills ended up crushing 1,073 lakh tonnes in the 2023-2024 season as against 1,055 lakh tonnes crushed in 2022-23 season.
Industry leaders claimed that central govt was anticipating a shortfall in sugar production due to the ban on sugar export and restrictions on ethanol production. Hence, the govt has set aside a ethanol blending target for 2024-2025 season (though the figure is not declared yet), to ensure adequate sugar in the market and for stable prices during polls.
Sharad Lad, chairman of Kranti Sugars from Sangli district said that his sugar mill crushed 11 lakh tonnes of sugar cane, the highest in the last decade.
“The estimates of the central govt failed. Now govt can at least allow us to export sugar. In the international market, sugar is at Rs 40 per kg. The prices are going to fall in the international market because of large production by the sugar producing countries. We are only left with this opportunity to make up for the expenses and help farmers get good returns in next season. I also hope that govt reverses it’s restrictions on ethanol production in coming season,” said Lad.
Recommended for you
