new Delhi. India is going to set a new record in sugar exports, despite the softening of sugar prices in the international market in the Corona period. In the current season, about 5 million tonnes have been exported, while about 4.5 million tonnes have been exported. This information has been received from domestic sugar industry organizations.
Prakash Naiknavare, managing director of the National Federation of Cooperative Sugar Factories (NFCSF), the industry body, said that in 2007-08, India had exported 49 lakh sugar which is an all-time record, but by the end of the current season, about 5.5 million tonnes of sugar Exports are expected which will be a new record.
He said that because of the outbreak of Corona epidemic in Brazil, the pace of sugar export from there has slowed down due to which the price of sugar is expected to be supported in the international market and due to increase in the price of sugar in the global market, the mills are able to export sugar. Will get profit
Brazil is second only to the US in terms of coronavirus infection. Naikanwere said that due to social distancing and labor shortage at the port of Brazil, where shipments used to take 12-13 days earlier, now 45-50 days have been started, due to which the export pace has slowed down. He said that sugar production in Brazil is estimated to be around 360 million tonnes this year, which is about 1 million tonnes more than last year.
Adhir Jha, managing director and CEO of Indian Sugar Exim Corporation Limited (IJAC), the country’s premier sugar exporting organization, said that India is close to setting a new record in sugar exports as there are deals of 5 million tonnes of sugar exports and this sugar country A new record of exports will be created with the exit of.
Jha also said in the conversation that up to 5.5 million tonnes of sugar is expected to be exported. He said, “Brazil is not competitive in the international market because it has a different market and India’s market is different, but it is difficult for India to export sugar if global supply prices fall due to increased supply.” He said that when the price of sugar in the international market is 13 cents per pound (the price of raw sugar), then there is profit in exporting Indian mills. Although the price of raw sugar is around 12 cents per pound in the international market on Tuesday, the price of white sugar (London sugar) was around $ 364 per ton.
Jha said that even if the prices are slightly lower, Indian sugar mills can export as domestic demand is limited and exports will solve the cash problem.
Explain that to give a boost to sugar exports, the central government has fixed a total quota of 60 sugar exports under the maximum allowable export volume (MAEQ) in the current sugar season 2019-20 October-September, at which the government will pay Rs 10,448 per tonne. Subsidizes at a rate.
Meanwhile, the government has been considering the demand of the industry for increasing the minimum sale price (MSP) of sugar in the domestic market. Currently, the MSP of sugar is Rs 31 per kg. President of the Bombay Sugar Merchants Association, Ashok Jain, said that the possibility of increase in MSP of sugar has increased the ex-mill rate of sugar by more than Rs 100 per quintal in the last 10 days.
According to information from Indian Sugar Mills Association (ISMA), the apex organization of private sugar mills, about 4.5 million tonnes of sugar have been exported in the current season.
According to the NFCSF, sugar production in the current season is estimated at 27.2 lakh tonnes, while domestic consumption, which was earlier expected to be around 240 lakh tonnes, may increase to around 245 lakh tonnes. However, at the end of the season, on 30 September, the outstanding stock will remain around 115 lakh tonnes. Explain that last year’s outstanding stock was 145 lakh tonnes.
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