GOI announced a policy for sugar exports in the sugar season 2022-23. The Government has allowed a quantity of 60 LMT to sugars mills across the country. The step comes as another measure to strike a balance between the price stability of sugar in the country and the financial positions of sugar mills in the country.
Sharing views on the recent development Mr. Sonjoy Mohanty – DG, Indian Sugar Mills Association (ISMA) said, “Sugar industry is appreciative of the Government’s decision to allow sugar export of 60 lakh tons, under the quota scheme. ISMA has been requesting the Government to allow sugar export in 2022-23 SS under the tradable quota scheme, which was accepted by the Government. The sugar industry is grateful to the Government for the same. This will ensure transparency in sugar exports.
Also, the fact that the Government has allowed sugar mills to exchange their export quota with domestic quota of any other sugar mill within 60 days from the date of issuance of the order, will ensure liquidation of the surplus stock, and mills will be able to generate revenue from it thereby ensuring timely cane payment to farmers.”
“The sugar industry is confident that the Government will allow sugar export of additional 30 lakh tons. This would ensure steady domestic prices, enabling timely cane price payment to farmers and lower inventory levels ensuring there are no additional costs incurred by mills.” He further added.
According to ISMA, with an opening balance as on 1st October 2022 of around 55 lakh tons, the estimated sugar production for the season 2022-23 of around 365 lakh tons and estimated domestic sales of around 275 lakh tons will leave additional sugar at around 90 lac tons, which needs to be exported to maintain the same closing stock.
