News Capsule: NFCSF Welcomes 15 LMT Sugar Export Approval, Flags Liquidity Concerns
15-Dec-2025 12:22 PM
News Capsule: NFCSF Welcomes 15 LMT Sugar Export Approval, Flags Liquidity Concerns
★ The National Federation of Cooperative Sugar Factories (NFCSF) has welcomed the government’s decision to permit the export of 15 lakh metric tonnes (LMT) of sugar for the 2025–26 sugar season, stating that the move reflects the Centre’s commitment to supporting sugarcane farmers and the sugar sector.
★ According to the Federation, the 2025–26 sugar season has begun on a strong note. As on December 15, 2025, 479 sugar mills across the country produced 77.90 LMT of sugar, compared with 60.70 LMT produced by 473 mills during the corresponding period last year. This marks an increase of 17.20 LMT, or 28.34%. Cane crushing during the period rose by 25.61%, alongside an improvement in sugar recovery.
★ State-wise data also indicate healthy momentum. In Uttar Pradesh, 120 mills have commenced crushing and produced 25.05 LMT of sugar by crushing 264 LMT of cane, with an average recovery of 9.50%. Maharashtra reported production of 31.30 LMT of sugar from 190 operating mills after crushing 379 LMT of cane, almost double the output recorded in the same period last season. In Karnataka, 76 mills produced 15.50 LMT of sugar, while other sugar-producing states together contributed 6.05 LMT.
★ Despite the encouraging production trends, NFCSF cautioned that the financial position of sugar mills remains under stress. The Federation has urged the government to adopt a proactive and forward-looking policy approach, including revising the sugar minimum support price (MSP) to ₹41 per kg, enhancing ethanol procurement prices, and diverting an additional 5 LMT of sugar towards ethanol production to improve mill liquidity and ensure timely payment of cane dues.
