Between October and January 15, sugar production in India stood at 10.8 million tonnes (mt), about three per cent more than the year-ago period, said a statement from the Indian Sugar Mills Association. The higher production was despite the fact that 12 sugar mills across the country were shut.

The sugar season runs from October to September. Officials estimate overall sugar production in 2012-13 at 24 mt.

Production in Maharashtra, the country’s largest sugar producer, stood at 3.77 mt, about 1,00,000 tonnes less than the year-ago period. While production in Uttar Pradesh stood at about 2.74 mt, against 2.92 mt in the year-ago period, Karnataka produced about two mt, 16 per cent higher than the year-ago period.

Meanwhile, the Confed-eration of Indian Industry ( CII) has urged the government to raise the import duty on sugar. It said despite surplus production in 2012-13, the industry incurred losses due to competition from cheaper imports. Currently, import duty on sugar is 10 per cent. This leads to high imports of raw and processed sugar into the country, as international sugar prices have seen a fall.
 

“The government should increase the import duty immediately — from 10 per cent to 30 per cent or more — to create a level playing field for the domestic industry,” said Ajit Shriram, co-chairman, CII task force on sugar, and deputy managing director of DCM Shriram Consolidated.