India's sugar exports jump nearly three-fold

New Delhi (PTI): India's sugar exports are estimated to have surged almost three-fold to over 50 lakh tonne, though output declined to 265 lakh tonne in the 2007-08 season.

Sugar production stood at 283 lakh tonne in the 2006-07 season, which runs from October to September, while exports were at about 17 million tonne last season.

"The production in 2007-08 season was 265 lakh tonne and exports are estimated at little over 50 lakh tonne," Maharashtra State Cooperative Sugar Factories Federation Managing Director Prakash Naiknavare said.

The final figure of exports would come in next few days, he added.

In 2008-09 sugar season, which started yesterday, the cane crushing would begin in Maharashtra from October 15. In Uttar Pradesh too, another major sugar producing state, crushing may start from the same date, industry sources said.

Asked about the export and production outlook for the current season, he said: "Production will be about 210 lakh tonne but exports will decline to one million tonne".

"There will be no exports subsidies, besides domestic prices are firming up and international prices are not going up in line with domestic market," Naiknavare said while attributing the reasons for decline in overseas sales.

In order to bail out the sugar industry, the government offered exports assistance of Rs 1,350 per tonne to mills located in the coastal states and Rs 1,450 a tonne for those in other areas. However, the Centre decided to withdraw the subsidy from start of the season.

source:hindu