ISMA's demand to open sugar exports is unlikely to be accepted

08-Aug-2024 01:57 PM

New Delhi. Although the apex industry body - Indian Sugar and Bio Energy Manufacturers Association (ISMA) has urged the Central Government to lift the ban on sugar exports and allow its shipment, citing accurate data, but in view of the festive season,

it seems that the government may not accept this request soon. Undoubtedly the government knows that the industry has ample (surplus) stock of sugar and its supply and availability situation in the open market also remains smooth, but still it may hesitate to approve its export till October 2024.

Usually during the festive season, the demand, consumption and price of sugar increases in the domestic sector, while the government tries to curb the rise in prices with better supply system.

Although ISMA says that only sugar with surplus stock can be approved for export, which will not have any effect on the domestic market, but the government's thinking may be different from this. It will fear some psychological division of export.

There has been an increase in the sugarcane sown area during the current year and the crop is in good condition due to good rains in the major producing areas. Due to this,

sugar production is expected to increase in the marketing season of 2024-25, but ISMA had estimated a decline of about 2 percent in sugar production in the initial stage. The stock position will remain strong in the next season.