Sugar output in UP inches up, but lower than expected as mills close
Sugar production in Uttar Pradesh has reached 81.5 lakh tonnes by March 15, slightly above last year, supported by improved recovery. However, output growth is slowing as mills shut early, making earlier expectations of crossing 110 lakh tonnes unlikely this season. National production remains higher due to strong output in other states.
Sugar production in Uttar Pradesh has inched ahead of last year’s level, though the growth has slowed as several mills wind up operations earlier than expected, The Hindu businessline reported.
As of March 15 in the current season, the state produced 81.5 lakh tonnes of sugar, slightly higher than 80.95 lakh tonnes recorded during the same period last year. However, the increase has now dropped to under one per cent, compared to more than two per cent growth seen at the end of February.
Early expectations of crossing 110 lakh tonnes now appear unlikely. Industry sources say even reaching 95 lakh tonnes could be difficult, as over 40 of the 120 mills have already stopped crushing and more than 30 are expected to shut within the next 20 days.
Figures from the National Federation of Cooperative Sugar Factories Ltd show that 78 mills were operational in the state as of mid-March, down from 91 a year ago. Sugarcane crushing also fell to 802.96 lakh tonnes from 843.23 lakh tonnes in the same period last season. Despite this, production remained slightly higher due to improved recovery, which rose to 10.15 per cent from 9.60 per cent last year.
Across the country, sugar production has shown a stronger trend. India’s total output reached 261.75 lakh tonnes by March 15, up from 237.15 lakh tonnes in the same period last season. While 173 mills are still operating, as many as 367 have already ended crushing, compared to 200 operating and 333 closed a year ago.
The rise in national output has been driven by higher production in Maharashtra and Karnataka. Maharashtra’s sugar output stood at 98.5 lakh tonnes between October 1 and March 15, marking a 25 per cent increase over last year’s 78.6 lakh tonnes. Karnataka also reported a 17 per cent rise, with production reaching 45.8 lakh tonnes.
The government has permitted exports of up to 20 lakh tonnes this season, with 15 lakh tonnes allowed by September 30 and the remaining 5 lakh tonnes by June 30. Exports are regulated through approvals to maintain domestic supply and price stability.
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Source : Chinimandi
