Sunday, 29 April 2012

Sugarcane Output in the risk
The coming sugar cane production is in the Risk even if Indian Metrological Department have predicted average monsoon. According to the London based International Sugar Organisation (ISO) India’s current sugar production is estimated 25.8 million tonnes which may fall in the next year 2012-13 up to 24.5 million tonnes. According to Agriculture Ministry, cane output was an estimated 351.2 million tonnes which may fall by range of 340-350 million tonnes next year. 
The main cause of future decreasing sugar cane output could be drought hits the crop in top producing state Maharashtra. The sugarcane output is highly dependent on monsoon which may fail to satisfy sugarcane farmer’s demands. This may affect the future sugar export which are currently 3 million tonnes may fall by 1 million tonnes. However Indian Sugar Mills Association (ISMA) still maintains that sugar production will be 26 million tonnes. If monsoon goes normal and 2% rise in the current area of plantation which is 51 Lakh hectors this year. This scenario may affect the world’s sugar prices as India is the second largest Sugar Producing country.