SEIC 2025: Industry optimistic about better sugar exports next season

Sugar – Ethanol & Bioenergy India Conference (SEIC) 2025, held from January 30 to 31, 2025, brought together industry stakeholders on one platform. The 4th edition of the conference kickstarted in New Delhi with a resounding inaugural session. The Union Minister of Road Transport and Highways Nitin Gadkari spoke about the bright future of the sugar industry, and the potential it has to contribute to 3% of the country’s GDP.

The conference highlighted key trends, challenges, and opportunities in the industry, with a focus on sugar production, exports, ethanol blending, and bioenergy innovations.

The second day saw four sessions where industry experts spoke on various important aspects of the sugar, ethanol, and allied sectors.

The Session 5 was Snake & Ladders – The Game of Indian Sugar

Moderator: Parshwati Saha, AVP, Media & Communications, JK Sugars and Commodities

Panellists:
Manohar Joshi, MD, Jawahar SSSK Ltd.
Rahil Shaikh, MD, MEIR Commodities
S. L. Sharma, Whole-Time Director & Executive Director, Uttam Sugar Mills Ltd.
Kapil Nema, Deputy Executive Director, Dalmia Bharat Sugar & Industries Limited

Moderator begin the session by emphasizing on sugar export next season, where industry experts shared their views.

The panelists expressed optimism about India’s sugar production and export potential for the next season. SL Sharma, representing Uttam Sugar, noted that Maharashtra and Uttar Pradesh are expected to see improved yields due to favorable weather conditions and a shift to better sugarcane varieties. He projected that sugar exports in the next season will be better than this year’s numbers.

Manohar Joshi, from Jawahar SSSK Ltd, echoed this sentiment, predicting a strong production year for 2025-26, with estimates ranging between 33 to 35 million tons after accounting for ethanol diversion. He emphasized the government’s strategic planning, including the early import of 1 million tons of sugar, as a sign of confidence in next year’s production. And he stated that we are expecting good numbers for export next season.

Kapil Nema from Dalmia Bharat Sugar keeping 37 MMT as a gross number and 29 MMT as a consumption number, there will be around 8 MMT of surplus, which will be distributed between ethanol and exports, depending on ethanol prices. I think, over the last two years, as an industry, we have learned a lesson: committing to ethanol is going to be a slower process for the third year unless there is clarity on ethanol prices. The diversion to ethanol might be little lower, which could eventually result in more exports.

Rahil Shaikh, MD of MEIR Commodities stated that I think for next year, if you have a gross surplus of, say, 7 to 8 MMT, out of that I would expect that, if you saw my presentation, I haven’t increased the ethanol blending; I kept it at 4 MMT of diversion. So, I think we will be left with 3 to 4 MMT of surplus sugar, which we can afford to export. However, this delta will only be known once we know the current year’s production. If the current year’s production is 26MMT, then this delta will be 35 MMT, and if the current year’s production is 28MMT, then this delta will be 37MMT. So, the key factor is the current year’s production and how much we increase it. I think, we will be exporting a minimum of 2MMT next year.

The discussion also touched on ethanol blending, a critical component of India’s renewable energy strategy. The panelists acknowledged the need to increase the prices of sugarcane based and B Heavy Molasses based ethanol citing increase in cost of production.

The conference also explored the potential for innovation and value addition in the sugar industry. panellists discussed the growing importance of byproducts like bagasse, press mud, and biogas (CBG) in enhancing revenue streams. They highlighted the potential of sustainable aviation fuel (SAF) as emerging opportunities for the sector. Experts noted that India’s sugar industry could play a pivotal role in this and meeting global demand for energy need.

The event saw the participation of some of India’s most innovative companies, including Nirani Sugars, KBK Chem – Engineering, Rika Global Impex, Rajganga Biorefineries, Dalmia Utsav Sugar, Praj Industries, DCM Shriram, Gruner Renewable Energy, CEID Consultants and Engineering, Aaditya Finechem, Mawana Sugars, TruAlt Bioenergy, and Novonesis, among others.

 

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