India’s sugar production started on a positive note this year with 10.50 lakh tonnes (lt) produced until November 15 during the current sugar season that began from October 1, up from 7.1 lt year-ago thanks to more number of mills starting crushing and reporting higher juice recovery.
The commencement of new crushing season in Maharashtra was delayed this year as was planned earlier due to rains. Now, the cane price agitations in Karnataka and Maharashtra have slowed down the cane crushing operation, the National Federation of Cooperative Sugar Factories (NFCSF) said in a statement.
The first fortnightly report (until November 15) shows that 325 mills have started crushing operation as against 144 mills in corresponding period of last year, it said adding 128 lt of sugarcane has been crushed as against 91 lt year-ago. The average recovery (sugar produce out of sugarcane) was 8.2 per cent, up from 7.8 per cent year-ago, it said.
It attributed the lower number year-ago was due to elections in Maharashtra that delayed crushing operation to begin only towards end of November.
It is estimated that the gross sugar production in 2025-26 season will be 350 lt — Maharashtra 125 lt, Uttar Pradesh 110 lt, Karnataka 70 lt. These three states account for 75-80 per cent of India’s sugar production.
Considering the opening stock of 50 lt on October 1 from the previous season, after the projected diversion of 35 lt sugar for ethanol production and the expected domestic consumption of 290 lt, there is a clear tradable surplus of 20-25 lt, it said.
The cooperative sugar mills’ body said that as the government has already allocated 15 lt of sugar for export, the timely announcement would help to stabilize market sentiments. The export opportunity window for India (January to April) is only 2 months away and the country can expect additional 10 lt may be allowed in the latter part of the season.
This will partially give relief to the sugar millers who are currently in a semi-depression state due to non-revision of minimum selling price (MSP) of sugar, fixed at Rs 31/kg since 2019.
Prakash Naiknavare, Managing Director of NFCSF said: “we focus on three issues — Sugar MSP revision to at least current ex-mill realization pan India, upward revision in sugar based ethanol prices and raising of sugar based ethanol allocation in future cycles.”
Pointing out that ethanol purchase prices remaining stagnant for last 3 years, Harshwardhan Patil, President of NFCSF said that both these revenue earning avenues (sugar and ethanol) being blocked, the sugar industry has no clue from where they can pay cane price, meet operational costs and clear vendor dues.
“We have farmer’s interest at paramount priority, their expectation of higher cane price is logically right. We completely support it being farmer centric organization. But it is also equally logical to help sugar millers generate adequate revenue by way of selling sugar at increased MSP and higher ethanol purchase prices in line with rise in raw material (sugarcane) prices,” Patil said.
He also appealed cane growing farmers to whole heartedly adopt integration of Artificial Intelligence (AI) in sugarcane farming which has successfully demonstrated increased yield of 40 per cent at reduced cultivation cost of 30 per cent.
Published on November 17, 2025