Sugar output may rise 24 pc to 25 MT in 2017-18: ISMA

New Delhi: India's sugar production is estimated to rise 24 per cent to 25.1 million tonnes (MT) in the next marketing year starting October on higher sugarcane area, industry body ISMA said on Thursday.

Sugar production in the world's second largest producer after Brazil is estimated at 20.2 MT in the ongoing 2016-17 marketing year (October-September).

It is likely to rise in all states except Tamil Nadu, Indian Sugar Mills Association (ISMA) President T Sarita Reddy said on the sidelines of a Kingsman sugar conference here.

"We estimate output at 25.1 MT next season and an opening stock of 4 MT. So, there would be sufficient availability of sugar in the country," he said. In Uttar Pradesh, she said, the production could rise to around 10 MT in the 2017-18 season.

India's sugar demand is 24-25 MT annually. Sugarcane area is higher at 49.88 lakh hectares this year compared to 45.64 lakh hectares in 2016-17. To boost domestic supply this year in view of fall in production, the government had allowed duty free import of 5 lakh tonnes of sugar in April-May.

Today, it further allowed imports of 3 lakh tonnes of raw sugar at concessional duty of 25 per cent to check prices during upcoming festive season. International Sugar Organisation (ISO) Executive Director Jose Orive also said that India's production will rise to 25 MT from 20.5 MT in 2016-17.

The global production will rise by 7 per cent to 179.3 MT, while consumption will increase 1.7 per cent to 174.7 MT, according to ISO. Sanjay Bhoosreddy, Principal Secretary, Sugarcane Development and Sugar Industry, Uttar Pradesh, said the output of sugar in the state will rise to 10.3 MT in 2017-18 from 8.8 MT in the current year.

He said the crushing is expected to start in some parts of UP from October 10.