Despite low production, outstanding sugar stock expected to increase

08-Nov-2024 12:15 PM

New Delhi. The apex industry body - Indian Sugar and Bio Energy Manufacturers Association (ISMA) has said that during the current marketing season (October-September) of 2024-25, the total domestic production of sugar may decline from 340.64 lakh tonnes to 333 lakh tonnes as compared to 2023-24, while its use in ethanol production is expected to increase from 21 lakh tonnes to 40 lakh tonnes, but despite this, the outstanding surplus stock of sugar is expected to increase by 3 lakh tonnes at the end of the marketing season.

According to the ISMA report, at the beginning of the current marketing season, the industry had a stock of 84.79 lakh tonnes of sugar, while with the production of 333 lakh tonnes, its total availability will reach 417.79 lakh tonnes. In this, 290 lakh tonnes of sugar will be used domestically and 40 lakh tonnes are expected to be used for ethanol production. In this way, a total of 330 lakh tonnes of sugar will be consumed while its production will be 3 lakh tonnes more than this i.e. 333 lakh tonnes. This production of 3 lakh tonnes will be added to the outstanding surplus stock and hence the total stock of sugar will increase to 87.79 lakh tonnes at the end of the 2024-25 season. According to ISMA, this year there has been some decline in the sugarcane sowing area at the national level as compared to last year and the crop has also been damaged due to heavy rains and floods in some states including Maharashtra. But the average recovery rate of sugar from the sugarcane of the remaining crop is expected to be better, so there will be a limited decline in the total production.