Indian sugar exports have gone from 0.47 LMT to 100 LMT in the last five years which is more than 200 times. To ensure sufficient availability of sugar for consumption at a reasonable rate, thereafter maximum sugar to be diverted to ethanol, Government of India capped sugar exports at 100 LMT for the ongoing sugar season 2021-22.
Industry body Indian Sugar Mills Association (ISMA) seeks additional 10 LMT release orders to fulfill sugar export commitments of the current season 2021-22. Mr. Aditya Jhunjhunwala, President- ISMA shared, “We reviewed the sugar production from 350 lakh tons to 360 lakh tons of sugar, mainly due to higher cane availability in Maharashtra, Karnataka and Tamil Nadu. As the sugar production is estimated to be higher now at 360 lakh tons, and we expect sugar consumption to be at 275 lakh tons, this gives a closing balance of about 67 lakh tons. In view of the above increase in estimated sugar production, the Government should allow the sugar industry to export another 10 lakh tons of sugar in the current season. This will leave a sufficient opening balance of sugar stocks for 2.5 months of sugar consumption.
Since, in the earlier Export Release Order (ERO) for the sugar mills dated 6th June 2022, out of applications for around 17 lakh tons of export, only 8 lakh tons of release orders have been issued to the sugar mills, meaning thereby that it is short by 9 lakh tons with respect to export applications submitted so far. The industry requests the Government that the additional 10 lakh of sugar export order should be given to sugar mills only, instead of giving it to the traders/exporters, so that sugar mills can fulfill their export commitments in the current season, and there is no repercussion of the same in the next season.”
To view the Export Release Order, click here
