Sugar Production Up 25% as on December 31, 2025
01-Jan-2026 02:23 PM
Sugar Production Up 25% as on December 31, 2025
★ India’s sugar industry is moving ahead at a healthy pace in the 2025–26 season. Adequate availability of sugarcane, better farm-level yields, and improved efficiency at sugar mills have supported a strong rise in production.
★ As of December 31, 2025, total sugar production in the country has reached 118.97 lakh tonnes, which is about 25% higher than 95.40 lakh tonnes produced during the same period last year. At present, 504 sugar mills are in operation across the country, compared with 492 mills at the same time last season.
★ According to information from major sugarcane-growing regions, both cane yield and sugar recovery are better than last year. With favourable weather conditions and smoother crushing operations, production is expected to remain strong in the coming months.
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State-wise scenario
Uttar Pradesh
★ Sugar production stood at 35.86 lakh tonnes by the end of December, around 9% higher than last year.
Maharashtra
★ With faster crushing operations, sugar production has increased to 48.61 lakh tonnes, marking a sharp rise of about 62% over the corresponding period last season. Currently, 197 sugar mills are operating in the state, compared with 190 mills last year.
Karnataka
★ Crushing activity is also progressing well in the state, with sugar production rising by around 12% compared to last year.
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Policy-related concerns and industry demands
★ Despite the positive production trend, the industry continues to face certain challenges. Ex-mill sugar prices in major producing states have fallen below the cost of production. In Maharashtra and Karnataka, average ex-mill prices are around ₹3,600 per quintal. The industry has reiterated the need for an upward revision in the minimum selling price of sugar to improve mill viability and ensure timely payments to sugarcane farmers.
★ Ethanol policy issues are also a cause for concern. Ethanol procurement prices have not been revised since 2022–23, and recent reductions in ethanol allocations have affected the ability of distilleries to operate at full capacity.
★ Industry stakeholders believe that timely policy decisions will help keep the sugar sector strong, protect farmer interests, and provide continued support to the rural economy.
