Sugar output jumps 25% to 21.2 million tonne

Sugar production in the October-March period of the 2006-07-sugar season (October-September) has jumped by about 25 per cent to a record 21.2 million tonne against the last year's 19.2 million tonne.

According to the provisional data available with the National Federation of Cooperative Sugar Factories (NFCSF), domestic sugar production as on March 31 was 21.2 million tonne.

About 11 million tonne was produced by private sugar mills and the remaining by co-operatives. Sugar production was 6.9 million tonne during the corresponding period last year.

Maharashtra topped the states with 7.32 million tonne, followed by Uttar Pradesh at 6.46 million tonne and Karnataka at 1.9 million tonne.

"Sugar production this season is likely to touch a record 25 million tonne against a consumption demand of 19 million tonne", said Vinay Kumar, managing director of the federation.

The government recently announced the creation of a buffer stock of 2 million tonne.

It has also announced an export subsidy of Rs 1,350 a tonne for mills located in coastal areas and Rs 1,450 a tonne for mills in northern states, so as to make the exports of sugar feasible.