The Indian Sugar Mills Association (ISMA) has predicted that sugar production in India will reduce by 8% to 33.7 million metric tons during the 2023/24 marketing year. A decrease in rainfall in the main producing states has hampered sugarcane harvests. This might result in India not issuing export quotas, which could have an impact on global sugar prices, currently approaching multi-year highs. The ISMA has not yet provided an estimate of net sugar output once sucrose has been diverted to ethanol production. Drought in Maharashtra and Karnataka has a substantial impact on productivity. Due to a shortage of rainfall, the Indian government has already suspended sugar exports for the first time in seven years.
Source: UDOP/ Reuters (*Translated by Ia Niani)