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Maharashtra Sets October 15 Sugar Crushing Start Amid Import Debate
Maharashtra is starting its sugarcane crushing season on October 15.
Sugar mills crush cane to make sugar.
The government wants to manage sugar supplies while prices and imports are changing.
Some mills and farmers worry that starting early could produce less sugar from the cane.
They also fear this could cause financial losses.
India has permitted duty-free imports of 1 million tonnes of sugar.
Mills have applied to import about 800,000 tonnes, but rising world prices could make those imports less profitable.
Industry representatives say imports can still make commercial sense, and retail prices may take one to two weeks to reflect recent changes.
Maharashtra will begin its annual sugarcane crushing season on October 15, earlier than usual, amid rising domestic sugar prices.
A committee chaired by Chief Minister Devendra Fadnavis reviewed cane availability, production plans, farmer prices and mill finances.
Sugar mills and farmers have warned that early-season cane may produce less sugar and cause financial losses.
India has allowed duty-free imports of 1 million tonnes of sugar, and mills have applied to import about 800,000 tonnes.
Industry president Niraj Shirgaokar said imports remain commercially viable despite domestic ex-mill prices falling to ₹43-44 per kg.
- Who
- The Maharashtra government, a committee chaired by Chief Minister Devendra Fadnavis, sugar mills, farmers and the Indian Sugar and Bio-Energy Manufacturers Association.
- What
- Maharashtra has scheduled sugarcane crushing to start on October 15, while the industry assesses early-crushing risks and the viability of sugar imports.
- Where
- Maharashtra and India.
- When
- The crushing season will begin on October 15; the government allowed duty-free imports last month, and retail-price effects are expected in one to two weeks.
- Why
- The early start is intended to address sugar availability and rising prices, while the government has permitted imports to support supplies and limit retail-price pressure.
Concerns About Early Crushing
Supply and Import Case
Starting the season early
Concerns About Early Crushing
Sugar mills and farmers say cane harvested and crushed early may have lower sugar recovery, potentially causing financial losses.
Supply and Import Case
The Maharashtra government scheduled crushing for October 15 after reviewing cane availability, production plans and supply-related issues.
Sugar imports
Concerns About Early Crushing
Mills are concerned that imports they applied for could become commercially unviable because global sugar prices have risen sharply as supplies tighten.
Supply and Import Case
Indian Sugar and Bio-Energy Manufacturers Association president Niraj Shirgaokar said imports remain commercially viable despite softer domestic prices.
Industry outlook
Concerns About Early Crushing
The industry has warned the government about operational challenges associated with early crushing.
Supply and Import Case
The association said it remains optimistic about production and ethanol allocation in the coming year.
Key facts
- Crushing start date
- October 15
- Duty-free import allowance
- 10 lakh tonnes, or 1 million tonnes, of sugar
- Applications received
- Mills have applied to import about 8 lakh tonnes
- Current ex-mill price
- ₹43-44 per kg
- Recent ex-mill peak
- ₹65-67 per kg two weeks earlier
- Expected retail-price impact
- One to two weeks
- Possible mill support
- The government considered restarting interest subsidies under a soft-loan scheme
Quotes
Niraj Shirgaokar
President of the Indian Sugar and Bio-Energy Manufacturers Association
“Imports are still viable despite declining domestic prices”
telegraphindia.com
“Discussions with the government are ongoing”
telegraphindia.com
Sources
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