Sugar output in the current 2011-12 season may exceed its initial projections of 26 million tonnes on higher cane area across the country and better recovery in Maharashtra, the Indian Sugar Mills Association (ISMA) said on Wednesday.

“Sugar production in 2011-12 would be at least 26 million tonnes with an upward bias, if any,” ISMA said in a statement. This is based on the recent review of the current sugar production up to January 2012 in various States and based on the feedback of ISMA's industry members.

ISMA drew a comparison between last year's actual production and reports of the yield, the trend in sugar recovery and diversion of sugarcane to alternate sweeteners such as gur and khandsari while finalising its assessment.

In the October-January period of 2011-12, sugar production has touched 13.27 million tonnes, up 17 per cent over the corresponding period last year.

Top three producing States - Maharashtra, Uttar Pradesh and Karnataka are expected to produce 9 million tonnes, 6.8 million tonnes and 3.8 million tonnes respectively, ISMA said. So far output in Maharashtra is up by 14 per cent to 4.68 million tonnes, while in UP the production is higher by 17 per cent to 3.72 million tonnes. In Karnataka, the output is up 21 per cent to 2.12 million tonnes over the previous year.

MAHARASHTRA

Maharashtra leads the top three sugar producing States in recovery of sugar. In the current season recovery in Maharashtra is estimated at 10.95 per cent as against 10.45 per cent in the previous year. However in UP, the recovery is slightly lower at 8.64 per cent as against 8.92 per cent in the previous year. The lower recovery in UP is attributed to the start of the early crushing season in the state.

ISMA had initially pegged the 2011-12 output at 26 million tonne, up from 24.2 million tonne in the previous year. ISMA's estimates are higher than the Government's forecast of 24.6 to 25 million tonnes. The annual demand for sugar in India is pegged at 22 million tonnes.

vishwa@thehindu.co.in

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