Decline in Production of Sugar

New Delhi: It has been informed by Sugar Commissioner of the state of Maharashtra that the sugar production during current sugar season 2019-20 is estimated at about 58.3 Lakh MT vis-à-vis about 107 lakh MT produced during last sugar season 2018-19. However, with the carryover stock of about 140 Lakh MT of last sugar season together with estimated production of 273 Lakh MT during current  sugar season, the total availability of sugar in the country is estimated to be about 413 Lakh MT as against estimated domestic consumption of 260 Lakh MT. Thus, it is expected that there would not be any shortage of sugar in the country in near future. The decline in sugar production in sugar season 2019-20 in the state of Maharashtra is mainly due to low availability of cane following drought last year and heavy rainfall in this year.

In order to improve the liquidity of sugar mills to enable them to clear the cane dues of the farmers in time, the Government has already taken various measures for the current sugar season including creation of buffer stocks of 40 Lakh MT with interest subvention of about Rs 1674 Cr to be borne by Government, Maximum Admissible Export Quantity of 60 Lakh MT with financial assistance of about 6200 cr and also allowed production of ethanol from C-Hy or B-Hy molasses or sugarcane juice or  sugar syrup or sugar for supply  to Oil Marketing Companies (OMCs) under Ethanol Blended with Petrol (EBP) Programme at remunerative prices.

This information was given in a written reply by the Minister of State for Consumer Affairs, Food & Public Distribution, Danve Raosaheb Dadarao in Rajya Sabha today.

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