UP sugar production crosses 3 mt this season

Nearly 23% higher than that of the corresponding period last year

The sugar production in Uttar Pradesh has crossed 3.3 million tonnes (mt) in the 2014-15 crushing season so far, 23 per cent higher than that in the corresponding period last year.

The sugar output had notched 2.7 mt in 2013-14 crushing season so far.

According to Uttar Pradesh Sugar Industry and Cane Development Principal Secretary Rahul Bhatnagar, the sugar mills had crushed nearly 36.2 mt of cane, against 30.5 mt last year.

The average sugar recovery rate clocked by mills this season stood at 9.2 per cent, compared with 8.8 per cent last year. Sugar recovery is the percentage of sugar extracted from cane juice. Historically, the sugar recovery in Uttar Pradesh has been lower than attained by mills in Maharashtra and Karnataka due to better cane varieties in the latter states.

Nearly 118 mills are operational in this season, with 94 belonging to the private sector. The cooperative mills number 23, while the lone remaining mill pertains to the largely comatose Uttar Pradesh State Sugar Corporation Limited.

The state mills had collectively paid nearly Rs 4,150 crore to the cane farmers, against the total current payables of Rs 6,065 crore, which pegs payment percentage at 62 per cent. The state private sugar mills have to settle Rs 730 crore in farmers’ dues for 2013-14 crushing season.

Uttar Pradesh is India’s largest and second largest sugarcane and sugar producer, respectively. The state’s sugar sector is facing crisis of sorts with mills alleging high cane price juxtaposed to falling sugar prices, dumping of sugar produced in other states to Uttar Pradesh, low sugar recovery and lack of incentives, among others.

Currently, the state cane price this year is Rs 280 a quintal.