Lack of rain may bring down sugar production in Maharashtra, Karnataka, says official; export ban may be possibility

"The expected sugar production for the year was 330 lakh tonnes but there could be a dip, while the carry over stock in the country is 65 lakh tonnes. The demand nationwide is 275 lakh tonnes and 50 lakh tonnes will be diverted for ethanol product...

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India is set to use more sugar for biofuel.
Lack of rainfall may bring down sugar production in Maharashtra and Karnataka, an official from the National Federation of Co-operative Sugar Factories Limited said on Thursday. In order to meet domestic demand, there could even be a ban on exports, National Federation of Co-operative Sugar Factories Limited chairman Jaiprakash Dandegaonkar told PTI.

"The expected sugar production for the year was 330 lakh tonnes but there could be a dip, while the carry over stock in the country is 65 lakh tonnes. The demand nationwide is 275 lakh tonnes and 50 lakh tonnes will be diverted for ethanol production," he said.

"So to meet the domestic demand of 275 lakh tonnes, a ban may be imposed on sugar exports this year. India doesn't export sugar regularly. In the last two years, a global shortage of sugar saw India exporting 60 lakh tonnes," he explained.


However, Dandegaonkar asserted that ethanol production target will be met despite dip in sugar production.
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