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Decline in sugar production in India
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Decline in sugar production in India

The decline in sugar production in India from October 1 to January 15 was 7%. The main reason for this is the reduction in production in Maharashtra and Karnataka. However, production in Uttar Pradesh has increased by 14.8%. The Indian government has allowed the diversion of some sugar for ethanol production to reduce biofuel expenses. It is possible that sugar exports will be banned due to concerns about the food situation.

17 January 2024 17 January 2024

The decline in sugar production in India for the period from October 1 to January 15 was 7% compared to last year. Factories in the country produced 14.87 million tons of sugar, which is 7% less than last year.

The main reason for the decline in production was the decline in production in the states of Maharashtra and Karnataka. In Maharashtra, sugar production fell to 5.1 million tonnes and in Karnataka by 12.7% to 3.1 million tonnes.

However, production in Uttar Pradesh rose 14.8% to 4.61 million tonnes. In this regard, the Indian government allowed the plant to redirect up to 1.7 million tons of sugar to ethanol production.

The decision comes as New Delhi seeks to cut costs on its biofuels program. In light of the upcoming elections, the Indian government, which is concerned about the food situation, may ban sugar exports, the first export curb since 2016.

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