Sugar production till mid-January was up by about 3 per cent at 108 lakh tonnes aided by higher cane crushing in Karnataka and Maharashtra.
In the corresponding period last year, the output stood at 105 lakh tonnes.
In Maharashtra, the production was up 3 per cent at 37.70 lakh tonnes, according to the Indian Sugar Mills Association. In Karnataka, the output was up 16 per cent at 20 lakh tonnes over the corresponding period last year.
However in Uttar Pradesh, the production was lower by 6 per cent despite a higher recovery as mills started crushing late.
Amid a bearish trend in sugar prices, cane arrears have begun to build-up and are hovering at Rs 2,987 crore till date.