What is the projected domestic sugar consumption versus production for India this season?

Question

Accepted Answer

India’s projected sugar consumption is expected to slightly exceed production this season
India’s annual sugar consumption is about 28.5 million tons, while this season’s sugar production is forecast to fall to 27.9 million tons. That places production below consumption, with the gap contributing to tight supplies inside India.
Consumption sits at about 28.5 million tons annually
Industry estimates describe India’s annual sugar consumption as about 28.5 million tons. This consumption level is referenced as a benchmark for how much sugar India uses domestically each year.
Production is forecast to drop to 27.9 million tons this season
India was initially expected to produce 30.95 million tons of sugar this season, but output is now forecast at 27.9 million tons. The reduction is tied to El Nino-linked concerns for cane production and lower cane availability.
The shortfall helps explain tight mill inventories at the season start
With production forecast at 27.9 million tons against consumption of about 28.5 million tons, inventories are expected to be pressured. Inventories with mills at the start of the season on October 1 are expected to fall to about 3.5 million tonnes, described as the lowest in more than three decades.
Ethanol demand is adding pressure even as sugar output weakens
At the same time, India is expanding ethanol use despite tighter cane supplies, which further squeezes sugar availability. Ethanol demand is estimated to rise from about 12 billion to 13 billion litres currently to some 30 billion litres by 2039-40, reinforcing the domestic supply pressure reflected in the consumption-versus-production gap.

Reading history

Hide →

This history is cleared when the page is closed.

What is the projected domestic sugar consumption versus production for India this season?

Loading

Was this article helpful?

Helpful

Not helpful

Report an issue

1

0

0

Share with friends