ALSO READIndia's rough diamond imports drop 4.7 pct y/y in Dec - trade body India's October gold imports to hit 9-month high on festive demand -industry India's October gold imports to hit 9-month high on festive demand India's gold imports drop for ninth straight month in September - GFMS Ethanol use can reduce India's fuel imports, says PM
Food Minister Ram Vilas Paswan today disputed sugar industry body ISMA's frequent downward revision in sugar production estimates for 2016-17 saying the projections were misleading and that India had enough stocks and imports are not required.
The Minister said the Food Ministry will take up the issue of sugar production forecast with the Indian Sugar Mills Association (ISMA).
"Who has given the right to them (to forecast)? You cannot believe their production numbers. They are misleading public and the industry by releasing wrong numbers. They should not be doing this," Paswan told reporters.
The frequent revision of sugar output estimate for 2016-17 marketing year (October-September) puts in question the credibility of the industry body, he said.
"It is not fair to frequently revise the figures. We don't know what logic they have behind this. All -- farmers, mills and trade -- get affected because of such numbers."
Paswan said the ISMA has trimmed sugar production forecast to 20.3 million tonnes for 2016-17, down from a previous projection of 21.3 million tonnes made two months ago, and down from a September 2016 forecast of 23.4 million tonnes.
Last year too, the industry body had initially project the
output to be 28 million tonnes and later revised it downward to 25.1 million tonnes, he added.
Urging the industry and public not to get misled with ISMA's incorrect projections, Paswan said, "There is no shortage of sugar in the country. We have enough stocks and imports are not required."
The availability will be 29 million tonnes this year including the opening stock of 7.7 million tonnes and likely production of 22.5 million tonnes in the ongoing 2016-17 marketing year, he said, adding this is sufficient to meet the the annual consumption of 24-25 million tonnes.
"Even if we take into account the ISMA's production estimate of 20.3 million tonnes, the availability will be 27.3 million tonnes, which is sufficient to meet the domestic demand," he added.
Asked if import duty on raw sugar will be slashed from 40 per cent, he said, "There is no question of imports. The status quo will remain."
Defending its data, ISMA President Sarita Reddy said, "There is nothing wrong with our data. ...We are not hiding any facts. Whatever data we have got from satellite images and different state associations, we have passed it on to the government."
The downward revision of sugar output to 20.3 million tonnes for this year was mainly because of severe drought in some states like Maharashtra, where sugarcane yields were hit badly, she told PTI.
The country has sufficient stocks and imports may not be required, she added.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)