Double-check sugar output numbers, Centre tells states

The states have been told to collect mill-wise sugar yields instead of taking the states' average

A worker loads sugarcane into a load carrier at a wholesale market in Ahmedabad. Photo: Reuters
A worker loads sugarcane into a load carrier at a wholesale market in Ahmedabad. Photo: Reuters
Press Trust of India New Delhi
Last Updated : Jan 25 2017 | 2:08 PM IST
Wary of potential under-reporting by millers, the Union food ministry has asked states to double-check if lower sugar production of 22.5 million tonnes estimated for the second straight year in 2016-17 is correct.

The states have been told not to depend solely on Union agriculture ministry's cane production data for calculating likely sugar output amid doubts about farm production figures, especially in the case of wheat.

In a meeting with sugar-producing states on Tuesday, the Union food ministry officials noticed not much change in the sugar production data submitted by the states except Uttar Pradesh, which quoted a higher figure.

After analysing the figures, the ministry maintained that the country's overall production is projected to be 22.5 million tonnes in the 2016-17 marketing year (October-September).

A senior food ministry official said the production numbers will be revised later after taking into account likely sugar output from mid-year cane crop in April-May in Maharashtra and Karnataka.

To get an accurate picture of sugar production for taking right policy decision, the official said: "States have been told to check the cane production figures on their own by analysing the field data and taking help of satellite images maintained by the sugar industry. They were asked not rely solely on agriculture ministry's cane output data."

The states have been told to collect mill-wise sugar yields instead of taking the states' average while estimating the sugar output to check if mills are under-reporting, the official said.

"There are possibilities that mills may be underreporting production figures... The mill-wise sugar yields will help get the accurate picture," the official added.

Sugar production in India, the world's second-largest producer and biggest consumer, is estimated to be lower in 2016-17 due to a possible sharp drop in Maharashtra and Karnataka due to drought. The output stood at 25.1 million tonnes during 2015-16 marketing year.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Jan 25 2017 | 1:32 PM IST

Next Story