ISMA urges to allow sugar export of 80 lakh MTS
India’s sugarcane plantation in the 2022-23 season is expected to be around 2% higher than the current year.
The global sugar rates continue to remain strong, Indian sugar industry body Indian Sugar Mills Association (ISMA) has asked the Central Government to announce approval for the export of 80 lakh MTS of sugar in the 2022-23 season. In a letter written to Food Secretary Sundhanshu Pandey on June 10, 2022, ISMA has said that the abrupt announcement of next year’s sugar policy will help the sugar mills enter future contracts at reasonable rates. ISMA has requested the government to evaluate the current sugar export policy and permit the export of at least 80 lakh MTS of sugar under Open General License (OGL) through the next sugar season starting October 1, 2022.
The area under sugarcane plantation for 2022-23 is anticipated to be higher by 2% than the current sugar season as per ISMA. As the IMD has predicted a normal monsoon in 2022, ISMA believes that it will presage well for the sugarcane harvest during its growth phase. ISMA also stated that, nonetheless, it appears that the sugar production in the next year may possibly be on the higher side. This, along with the possibility of a normal monsoon, will take local sugar production to about 39.4 million MTS, without considering diversion towards ethanol. This is similar to the projected sugar production of the current year, which after accounting for 3.4 million MTS diverted towards ethanol, has been measured at 36 million MTS. Thus, even after an anticipated higher sugar diversion towards making ethanol next year, there will be adequate surplus sugar available for exports. One sugar miller stated that this will give a fair and transparent chance and equal opportunity to all sugar mills to take part in exports, instill confidence in the millers and sustain a secure local market position owing to adequate available reserve for domestic consumption.
Disclaimer: The information in this news is provided solely for informational purposes and Factrade is not liable for any actions taken based on this news. All information in this news is believed to be obtained from reliable resources and Factrade makes no representations as to its completeness or accuracy.