FBD: India announces Minimum Price of sugarcane

The Government of India has announced Statutory Minimum Price (SMP) of sugarcane for 2009-2010 sugar season at US$ 2.21 per quintal of sugarcane where the recovery rate is higher than 9.5% a premium of US$ 0.023 for every 0.1 percentage point increase in recovery will be given.

The SMP of sugarcane for 2008-2009 sugar season was US$ 1.67 per quintal linked to a basic recovery of 9% subject to a premium of US$ 0.018 for every 0.1% increase in the recovery above that level.

According to Sugar Industry sources, most of the sugar mills in the country have stopped crushing of sugarcane due unavailability of cane supply.

It is also learnt that the sugar mills are now running production by refining imported raw sugar.

SOURCE:foodbizdaily