Press Release - Sugar Production upto 31-12-2014

• Sugar production in the current 2014-15 sugar season till 31^st December, 2014, is 74.61 lakh tons.  Last year during the corresponding period, it was 58.63 lakh tons.  Thus, 15.98 lakh tons of more sugar has been produced more this year till 31^st December.

• As on 31^st December, 2014, 481 sugar mills were in operation in the country as against 485 sugar mills operated last year same period.   499 sugar mills were operating as on 31^st December, 2012 when the sugar production was 80.32 lakh tons.

• In U.P. 117 sugar mills were in operation on 31^st December 2014, as against 119 last year on 31^st December. 17.21 lakh tons of sugar has been produced upto 31^st December 2014, as compared to 11.19 lac tons produced last year same period.  In 2012-13, the sugar production upto 31^st December was higher at 19.03 lakh tons.  This year’s production is slightly higher than last year mainly because the U.P. mills started their crushing operations almost a week before last year.  Sugar Recovery % till 31^st December 2014 is higher at  9.25%, which was 8.75% last year.

• In Maharashtra, 171 sugar mills have produced 32.75 lac tons of sugar till 31^st December, 2014.  This is 10.41 lac tons more than last year during the corresponding period when 155 sugar mills were under operation.  In 2012-13 sugar season, 158 sugar mills were in operation in Maharashtra and they had produced 28.65 lakh tons till 31^st December.

• 63 sugar mills in Karnataka are in operation and they produced 12 lac tons of sugar upto 31^st December, 2014.  Last year same period, 59 mills were in operation who produced 12.34 lac tons of sugar till 31^st December. 

• In Tamil Nadu, only 15 sugar mills had started their crushing operations till 31^st December, 2014 as against 35 sugar mills which were in operation on 31^st Dec. in 2013-14 sugar season.  Upto 31^st December, 2014, sugar production in the State was 0.65 lac tons as compared to 1.62 lac tons produced last year in the corresponding period.

• In Bihar, all 11 sugar mills which are in operation produced 1.80 lac tons of sugar upto 31^st December, 2014 which is 0.90 lac tons more than what they produced last year same period.

• In other States, sugar production remained more or less same as that of last year.

• Ex-mill sugar prices in Maharashtra and Karnataka have been falling continuously and at present sugar mills are selling their sugar at Rs. 2450-2500 per quintal.  Ex-mill prices in U.P. are now ruling between Rs. 2600-2650 per quintal.

• It has become difficult for the mills to even pay FRP within the stipulated period as ex-mill sugar prices across the country are substantially below the cost of production.

• The industry continues to eagerly wait for the Central Government’s announcement on continuation of incentive scheme on raw sugar production and exports thereof that will help improve liquidity with the industry and check the continuously falling ex-mill sugar prices, which in turn, should improve the industry’s cane price paying capacity.

• The OMCs have invited Expression of Interest (EoI) for 97 crore litres of ethanol at fixed price, as approved by the Government on 10^th December 2014, which is to be opened on 12^th January, 2015.