Pune: After bumper crop, sugar mills eye Chinese markets

Faced with back-to-back bumper crop and large unsold inventory, sugar millers in India are eyeing the export market to reduce their stock. The Centre has, in fact, set 50 lt as the Minimum Indicative Export Quota (MIEQ) for sugar this year. India is set to produce 320 lt of sugar, with Maharashtra alone to produce more than 90 lt. Transport subsidies have been announced for mills to export sugar and bring a parity in the prices.

Naiknavare was part of a high-level delegation of government officials and millers, who had visited China earlier this month. Series of meeting were arranged between Chinese refiners, traders and Indian officials.

“During the meeting, concerns were expressed on whether India would be a consistent export player,” he said. A delegation of Chinese refiners will visit India in the next few days. “We will take them to the mills in Maharashtra to assure them of quality concern,” he said.

After the initial hitches, the cane crushing season has started in Maharashtra with 93 mills starting their season. Mills in Marathwada have complained of severe drought, which has taken a toll on their cane acreage as well as recovery. Till date 57.39 lakh tonne of cane has been crushed and around 5 lakh tonne of sugar has been produced.