Due to unseasonal rains in October and November, sugarcane and sugar production is expected to increase. Therefore, the West Indian Sugar Mills Association (WISMA) has urged the government to restore the ethanol production policy prior to December 7, 2023, for the Aatmanirbhar National Ethanol Blending Programme.
In early December, the Food Ministry directed sugar mills not to use cane juice or syrup to produce ethanol. In a U-turn, the central government in mid-December allowed the utilisation of juice as well as B-heavy molasses to produce ethanol but capped the diversion of sugar at 17 lakh tonnes for the current supply year (against the earlier 35 LMT diversion).
In a letter to Food Secretary Sanjeev Chopra, the sugar body informed that WISMA’s Executive Committee meeting was held through VC on January 2, 2024, and assessed the standing sugarcane crop area-wise in the State. In the major cane-growing regions in Central, Marathwada, and Vidarbha regions, it has been noticed that due to unseasonal rains in October and November 2023, there has been a rise in sugarcane productivity and sucrose percentage, with a rise of about 10 to 12 percent in cane and sugar production by 7.5 percent, leading to 95 lakh tonnes (earlier sugar estimates of 88 lakh tonnes).
“The State of Maharashtra, as of December 31, 2023, having 96 Co.op and 99 private mills totaling 195 mills having a daily TCD of 9 lakh tonnes, reviewed mill-wise, and it was noticed that the earlier season was expected for about 95-100 days. However, due to favorable conditions, there is a cane productivity rise of up to 5 percent, i.e., 993 lakh tonnes, leaving out actual crushing of 428 lakh tonnes (40%) produced 38.20 lakh tonnes of sugar, leaving out 60 percent cane with a total season production of 95 lakh tonnes,” the letter further reads.
According to the WISMA, the rise in state sugar production is due to two main reasons: (i) a rise in cane productivity per hectare due to unseasonal rains and (ii) central government restrictions on syrup to ethanol vide the December 7, 2023, order, which stopped the diversion of sugar for ethanol production. Earlier Maharashtra state estimates were net 88 lakh tonnes with about 8 to 10 lakh tonnes of sugar diversion for ethanol. But due to the given situation, net sugar production without diversion for ethanol would be 95 lakh tonnes, as studied by WISMA and Maharashtra State Co.op Sugar Federation.
“The states of Karnataka and Gujarat have also benefited from unseasonal rains and a rise in cane productivity of 8-10 percent per hectare. The state of Uttar Pradesh also reports a rise in sugarcane productivity and sugar production,” WISMA further added.
Considering the factuals and nature favorabilities on sugar production front, WISMA requested government to restore the ethanol production policy prior to December 7, 2023.
WISMA IS TELLING SUGAR PRODUCTION IS INCREASED DUE TO UNSEASONAL RAIN DURING THE MONTH OF OCTOBER AND NOVEMBER AND ALSO RESTRICTION OF ETHANOL PRODUCTION FROM SUGAR CANE SYRUB AND B-HEAVY MOLASSES UP TO 17 LAKSH MTS OF SUGAR INSTEAD OF 35 LAKHS MTS OF SUGAR.WHEREAS ISMA IS TELLING THERE IS A SHORT FALL OF 10.00 LAKHS MTS OF SUGAR UP TO 31.12.2023 CORRESPONDING DATE OF LAST YEAR PRODUCTION.THREFORE WHICH IS CORRCT