EGoM to decide on further sugar exports up to 1 mn tonne

An empowered group of ministers (EGoM) will decide on allowing further export of up to one million tonne of sugar in the ongoing marketing year ending September, Food Minister KV Thomas said today.

"EGoM will meet soon to decide allowing further exports of up to 1 million tonne of sugar in the ongoing marketing year," Thomas told reporters on the sidelines of a function to mark 'World Consumer Day' here.

The government has already allowed 2 million tonne of sugar exports in the 2011-12 marketing year in two equal tranches, as the country's sugar output is all set to exceed domestic consumption.

Thomas said the EGoM headed by Finance Minister Pranab Mukherjee will meet soon.

Recently, Agriculture Minister Sharad Pawar, too, had said there was a scope for additional 1 million tonne of sugar exports.

Based on the inputs of Cane Commissioners of all sugar producing states, the food ministry recently revised upwards the sugar production estimates to about 25.2 million tonne from the earlier projection of 24.6 million tonne for this marketing year.

The annual domestic demand is seen at 22 million tonne.

However, the industry has pegged the sugar output at 26 million tonne in 2011-12 against 24.3 million tonne in the previous year.

India, the world's second largest producer of sugar and biggest consumer, had exported 2.6 million tonne of sugar in the previous marketing year.