“Sugar production till December in the current season has reached 61.39 lakh tonnes, against 74.05 lakh tonnes produced last year on the corresponding date,” said ISMA.
The increase in diversion of sugar for ethanol is one of the reasons for lower sugar production.
“This year sugar diversion towards ethanol is estimated to be higher at around 40 lakh tonnes against around 21.5 lakh tonnes diverted last year,” said ISMA. Last year, the central government had curtailed diversion of sugar towards ethanol to control the sugar prices in the country.
A delay in the beginning of the sugarcane crushing operations in Maharashtra due to the assembly elections and in Karnataka has also slowed down the pace of sugar production in the country.
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The number of operating factories was 477 this year, against 496 Factories which operated last year on the corresponding date. “This year, the sugar factories in Karnataka started late by about 7-12 days. In Maharashtra, sugar mills started late by 15 – 20 days, as compared to last year. “However, despite the late start in these major states, number of operating factories and the corresponding crush rate is picking up at a faster rate, said ISMA.