According to a senior food ministry official, India’s sugar exports are likely to decline by 28.57 tonnes to around 8 million tonnes in the 2022-23 season due to lower opening balance stock and higher diversion for ethanol. Once the sugarcane crushing operation begins, the official said, the decision on whether to permit export under an open general license or a quota system will be made after assessing the price situation.
The sugar season runs from October to September. Generally, the cane crushing season begins in October or November and lasts until mid-April.
The current season is expected to see 11.2 million tonnes of sugar exported.
Sugar supply is expected to be lower in the next season, with an opening balance of 6 million tonnes. A higher diversion of cane for ethanol is also possible, he said.
During the previous few years, the country had an opening balance of sugar between 8-10 million tonnes, but it is projected to be 6 million tonnes in 2022-23.
In 2022-23, even cane will be diverted for ethanol production more than in the current season. The amount of sugar diverted for ethanol next season is expected to be around 4.5-5 million tonnes, up from 3.5 million tonnes this season.
As a result of input from key growing states, the official estimated that the country’s sugar production would increase from 39.5 million tonnes to 40 million tonnes in 2022-23.
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