Sugar production in India is likely to be 26.1 million tonnes in 2017-18, the Indian Sugar Mills Association (Isma) said on Thursday, raising its production forecast for the year by 4%. In early, January Isma had estimated production at 25.1 million tonnes. The latest estimate implies a 29% increase in sugar output year on year, from 20.3 million tonnes in 2016-17. Surplus production could lead to a decline in wholesale prices and pending payments to cane farmers.