Sugar mills in Uttar Pradesh are crushing cane with full capacity this season but the sugar output is likely to be lower compared to that of last season.
According to the Indian Sugar Mills Association (ISMA), sugar output in UP is likely to be around 102 lakh tonnes as against 110.59 lakh tonnes in the 2020-21 season.
The lower sugar output is attributed to the lower sugarcane production, low sugar recovery and increase in the diversion of cane juice and molasses to ethanol production. According to the ISMA, the sugar mills are likely to increase ethanol production further which is likely to lower sugar output in the state. Based on the allocations made by the OMCs for the supply of ethanol in 2021-22 and further extrapolating expected allocations in the upcoming bids over next few months, it is estimated that about 12.55 lakh tonnes of sugar will be diverted for the production of ethanol by the sugar mills in state in the current year as compared to about 6.90 lakh tonnes diverted in 2020-21 season.
