5 minutes agoWorld's food crisis, world's biggest sugar producer plans to stop export
Periskopi(4 years ago)
(4 years ago)India is planning to limit sugar exports for the first time in six years to prevent an increase in local prices, potentially limiting this season's exports to 10 million tonnes, a government source told Reuters on Tuesday. India is the world's largest sugar producer and exporter of [...]
India is the world's largest sugar producer and second largest exporter after Brazil.
Initially, India planned to restrict sugar exports to 8 million tons, but the government later decided to allow mills to sell more sugar on the world market, as production reassesses were made.
The Indian Sugar Bills Association, a production body, revised its production forecast at 35.5 million tonnes, from its previous estimate of 31 million tonnes. Indian mills have so far signed contracts to export 8.5 million tonnes of sugar in the current year 2021/22. Of the 8.5 million tons contracted, the mills have already sent about 7.1 million tons of candy.
Traders, however, said the decision to allow mills to export 10 million tonnes would help the country sell a substantial amount of sugar to the world market.
The 10 million-ton limit is large enough, and both factories and government will be satisfied with this,” said a Mumbai-based businessman with a global trade firm.
After exporting 10 million tonnes, India's sugar reserves on 1 October, when the next 2022-23 season begins, will be a total of 6 million tonnes, enough to meet the country's demand for the festival season during the quarter of December, the businessman said.
