Sugar Output Jumps Sharply as Maharashtra, UP, Karnataka Lead Growth

According to the Indian Sugar and Bio-Energy Producers Association (ISMA), India's sugar production increased to 19.503 million tons in January, compared to 16.479 million tons in the same period last season. This represents an 18.4 percent increase in production year-on-year. According to ISMA, 515 sugar mills are currently in operation across the country, slightly higher than the 501 mills operating at the same time last year. The sugar crushing season typically begins in October.

According to data, Maharashtra, Uttar Pradesh, and Karnataka are the country's largest sugar-producing states, and production has increased this year in all three states. Sugar production in Maharashtra has reached 7.872 million tons, an increase of approximately 42% compared to the same period last season. Currently, 206 mills are operational in the state, compared to 190 during the same period last year.

The state of Uttar Pradesh, which holds the second position, produced 5.51 million tons of sugar by the end of January. It has been observed that this year, the production is around 2.5 million tons (around 5%) more than the previous year due to consistent crushing. The crushing in Karnataka has also improved this year, with an increase in production by around 15% compared to the previous season.

ISMA has once again demanded a revision in the minimum selling price (MSP) for sugar. According to ISMA, “The early revision of MSP in accordance with an increase in production costs is essential for financial stability in the industry, timely payment of sugarcane to farmers, and stability in the sugar market without any financial burden on the government.”