Due to high demand, mills have met their sugar export quota for the current year

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Mumbai: Mills in the country have exported the entire sugar under the export quota released for the current year, industry sources said. The government has allowed a total of 61 lakh tonnes of sugar to be exported in the current sugar year ending on September 30.

Currently high sugar prices in the world market have benefited the country's exporters. Sources in the Indian Sugar Mills Association (ISMA) said exporters will not be allowed to export more sugar in the current year keeping in view the low production of sugar at home.

Considering the limited exports from India, the price of sugar at the global level is likely to rise further.

Sugar mills are getting more than Rs 50,000 per tonne of sugar in the export market compared to around Rs 37,000 per tonne at home. A record 1.10 crore tonnes of sugar was exported from the country in the sugar season of 2021-22.

The country's sugar production is expected to fall to 3.28 crore tonnes in the current season against 3.58 crore tonnes in the previous season. The government sources had already said that the export quota will not be increased due to the decrease in production.

Sources said the sugar production estimate, which was earlier set at 3.40 crore tonnes, has now been reduced to 3.28 crore tonnes due to lower production in Maharashtra.

India's sugar exports are mostly to countries like UAE, Bangladesh, Indonesia, Sudan. Meanwhile, according to another report, the government has released 23.50 lakh tonnes of sugar for the month of June for sugar mills.

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