Business Daily from THE HINDU group of publications Thursday, Mar 08, 2007 ePaper |
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Sugar Agri-Biz & Commodities - Outlook Sugar output estimate to be revised upwards Harish Damodaran
The scenario The total sugar output this season may end up at around 240 lt, with some in the industry even quoting a level of 250 lt. During the current season, mills in Maharashtra have, till March 5, crushed 538.92 lt of cane and produced 60.01 lt at an average recovery rate of 11.14 per cent.
The 227-lt estimate assumed production of 70 lt each in Maharashtra and Uttar Pradesh, with Tamil Nadu (23 lt), Karnataka (19 lt), Andhra Pradesh (14 lt) and Gujarat (13 lt) being the other major contributors. But the latest indications are that Maharashtra alone may end up producing 77 lt, while Uttar Pradesh may touch 75 lt. All put, it appears that the total sugar output this season may end up at around 240 lt, with some in the industry even quoting a level of 250 lt. "We are still collating reports from various States. But it looks the initial estimate will getexceeded," a Food Ministry official told Business Line. In the 2005-06 season, out of a total production of 192.67 lt, Uttar Pradesh's share was 57.84 lt, followed by Maharashtra (51.97 lt), Tamil Nadu (21.70 lt), Karnataka (19.43 lt), Andhra Pradesh (12.36 lt) and Gujarat (11.68 lt). During the current season, mills in Maharashtra have, till March 5, crushed 538.92 lt of cane and produced 60.01 lt at an average recovery rate of 11.14 per cent. During the corresponding period of 2005-06, they crushed only 389.10 lt and produced 45.25 lt at 11.63 per cent recovery. "Earlier, we based our 70-lt estimate on a total cane crushing of 600 lt. But now, we expect an additional 100 lt to be crushed. This is mostly on account of Marathwada, where per hectare cane yields have turned out to be 10-11 tonnes higher because of favourable weather conditions. The 700- lt cane crushed on a 11 per cent recovery will generate 77 lt," said Mr Prakash Naiknavare, Managing Director, Maharashtra State Co-operative Sugar Factories' Federation. In Uttar Pradesh, the State Cane Commissioner's latest comparative data for 2006-07 and 2005-06 till February 22 shows higher crushing (517.96. lt versus 437.67 lt), sugar output (48.72 lt versus 40.11 lt) and recovery (9.41 versus 9.16). "Mills this year will continue crushing till the third week of April in western Uttar Pradesh and up to the second week of May in the eastern parts. Sugar output is likely to reach 75 lt," officials said.
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