India to produce 302 lakh tonnes of sugar in 2020-21: ISMA
Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel
India is expected to produce 302 lakh tonnes of sugar during 2020-21 (October-September), the Indian Sugar Mills Association (ISMA) said on Thursday while releasing its second advance estimates for the current sugar season.
The industry body had pegged sugar output of the country around 310 lakh tonnes in its first advance estimates for 2020-21 sugar season.
As per the second advance estimates, sugar mills in Uttar Pradesh are expected to produce about 105 lakh tonnes in 2020-21 sugar season, as against 126.37 lakh tonnes produced in 2019-20 sugar season.
Estimated lower production this year is because of reportedly lower cane yields and lower sugar recoveries in the state, much higher diversion to gur/khandsari units and much higher diversion of sugar for production of ethanol by way of diversion of 'B' heavy molasses and sugarcane juice, said ISMA.
Based on the allocations made by the OMCs for supply of ethanol in 2020-21, it is estimated that about 6.74 lakh tonnes of sugar will be diverted for production of ethanol by the sugar mills in the state in the current year as compared to about 3.70 lakh tonnes diverted in 2019-20 sugar season.
Maharashtra is expected to produce about 105.41 lakh tonnes in 2020-21 sugar season, as against 61.69 lakh tonnes produced in the 2019-20 sugar season.
Higher estimated sugar production this year is mainly due to increased cane area by about 48 per cent and better cane yields as compared to the last season owing to favourable weather conditions as well as increase in percentage of plant cane.
Based on the allocations made by the OMCs for supply of ethanol in 2020-21, it is estimated that sugar mills in the state will divert about 6.55 lakh tonnes of sugar for production of ethanol in the current year, which is substantially higher as compared to only about 1.42 lakh tonnes diverted in 2019-20 sugar season.
The third major sugar producing state -- Karnataka is expected to produce about 42.5 lakh tonnes of sugar in 2020-21 sugar season, as against 34.94 lakh tonnes produced in 2019-20 sugar season.
There has not been any major changes in the other sugarcane growing states of the country.
As per second advance estimates of ISMA, the country is expected to produce 302 lakh tonnes of sugar during 2020-21 sugar season.
All the above state wise production estimates and all India sugar production estimate are given after considering reduction of sugar due to diversion of cane juice and 'B' heavy molasses for production of ethanol.
