AISTA cuts sugar production estimate to 33.5 mn tonnes in 2022-23 season
India’s sugar production is projected to decline by 1 million tonne to 33.5 million tonnes in the ongoing 2022-23 season on account of lower sugarcane yields and sugar recovery, trade body AISTA said on Monday.
Earlier, the All India Sugar Trade Association (AISTA) estimated sugar production at 34.5 million tonnes for the 2022-23 season (October-September).
Based on revised figures, the country’s sugar production, however, is likely to remain down by 2.3 million tonnes than the actual output of 35.8 million tonnes achieved in the 2021-22 season.
Releasing the second estimate, AISTA said the revised estimate of sugar production excludes diversion of sucrose for ethanol making.
Consequently, sugar production in Maharasthra is estimated to be lower at 11.3 million tonnes in the current season as against 13.7 million tonnes in 2021-22 season. The output in Karnataka is likely to be drop slightly to 5.5 million tonnes as against 6.2 million tonnes in the said period.
In Uttar Pradesh, sugar output is estimated to be slightly higher at 10.8 million tonnes in 2022-23 season as against 10.2 million tonnes in the previous season.
According to AISTA, “The decline in production in Maharasthra and Karnataka is mainly due to lower sugarcane yield and recovery rate.”
A good number of sugar factories in Maharashtra have started closing down or have already closed down or are able to operate only one or two shifts. This shows clear signs of tapering off of the season, it said.
In Western Uttar Pradesh, the sucrose recovery has been lower, it added.
Based on the revised estimates, AISTA said about 39.5 million tonnes of stock would be available that will include 6 million tonnes of opening stock.
Domestic consumption would be 27.5 million tonnes and exports would be 6 million tonnes in the current season. The closing stock would be 6 million tonnes, it added.
India is one of the major sugar producing countries in the world.
This article has been republished from The Business Standard.