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ISMA lowers sugar manufacturing estimate to 27.27 million tonnes

by Index Investing News
January 31, 2025
in Financial
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ISMA, the business physique of personal sugar mills, launched its second advance estimate of sugar on Friday which has acknowledged a drop in internet manufacturing to 27.27 million tonnes (mt) throughout 2024-25 sugar season (October-September) from 31.96 mt within the earlier sugar season.

Although in its first estimate ISMA predicted gross manufacturing of 33.3 mt for the present season, it implied a internet sugar output of round 29.55 mt after factoring 3.75 mt possible diversion in the direction of ethanol. Within the 2023-24 season, the web sugar manufacturing was 31.96 mt, it mentioned. The All India Sugar Commerce Affiliation on January 28 had launched its sugar manufacturing estimate, with a forecast of 26.52 mt.

Early flowering

“It was famous that sugarcane yield and sugar restoration in Uttar Pradesh is decrease than final yr primarily on account of widespread pink rot infestation and varietal alternative leading to decrease estimated sugar manufacturing,” the Indian Sugar and Bio Vitality Producers Affiliation (ISMA) mentioned in an announcement on Friday.

Equally, two different main States of Maharashtra and Karnataka are getting decrease cane yields per unit space and the principle purpose is the onset of early flowering in a number of cane rising areas on account of moist subject circumstances, it mentioned. There was greater rainfall obtained throughout each monsoon and post-monsoon seasons, suppressing solar shine hours, it mentioned.

In December 2024, businessline in regards to the possible decline in sugar output when the millers weren’t able to disclose the drop amid their constant demand to open up export. Lately, the federal government permitted 1 mt of sugar exports.

The Government Committee of ISMA, in its assembly on Friday, deliberated on the suggestions obtained from totally different sources together with satellite tv for pc photographs of the cane space (throughout the third week of January), subject visits, historic traits, climate, present pattern of yields and sugar recoveries achieved until now, as additionally anticipated yield/sugar restoration within the remaining interval of the sugar season. The satellite tv for pc footage have offered a good suggestion of the realm already harvested and the remaining space (unharvested) within the fields throughout the nation to estimate the possible manufacturing.

6.25 mt closing shares

Although most of the business officers have estimated the possible diversion of sugar (sucrose) in the direction of ethanol at 4 mt for the present season, ISMA has pegged it at 3.75 mt. “Whole sugar diversion figures have been adjusted based mostly on the State clever ethanol provide allocations and anticipated crushing,” it mentioned.

Accordingly, ISMA’s projected sugar stability sheet mentioned there could also be gross sugar manufacturing of round 31.02 mt, home consumption 28 mt, exports 1 mt and shutting inventory (as on September 30, 2025) 6.25 mt.

In the meantime, updating the most recent manufacturing quantity, ISMA mentioned that already 16.5 mt of sugar has been produced until January 31, as towards 18.72 mt within the corresponding interval final season.

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Revealed on January 31, 2025





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