EGoM meet on sugar exports postponed

Food Minister says the next date has not yet been decided

The Empowered Group of Ministers (EGoM) meeting on sugar exports and other food related issues has been postponed, Food Minister KV Thomas said today.

"The EGoM meeting has been postponed. The next date has not yet been decided," Thomas said.

The EGoM, headed by Finance Minister Pranab Mukherjee, was scheduled to deliberate on allowing further shipment of 1 million tonnes of sugar in 2011-12 marketing year (October-September).

The meeting was also to decide on modalities of sugar exports for 1 million tonne, which the EGoM has already cleared.

The issue of allocating additional 8 million tonnes of foodgrains to BPL families to clear storage space for new crop was also on the agenda, sources said.

 

The government has already allowed exports of 3 million tonnes of the sweetener in the current marketing year so far. Of this notification has been issued for 2 million tonne.

India, the world's second-largest producer and biggest consumer, had exported 2.6 million tonnes of sugar in the 2010-11 marketing year.

As per the sugar industry, there is more scope for exports of sugar in the current marketing year on account of increased production.

According to government estimates, the country is expected to produce 25.2 million tonnes of sugar in the current marketing year.

While private sugar industry body, Indian Sugar Mills Association, has estimated the output at 26 million tonne in the current season, the International Sugar Organisation has pegged the production in the country at 25.8 million tonne.

The domestic demand is estimated at 22 million tonne annually.