Farm minister rules out white sugar import

Agriculture minister Sharad Pawar Thursday ruled out import of white sugar. He said domestic stocks and sugar production in 2004-05 (October-September) are sufficient to meet domestic requirements.

"There is no question of importing white sugar. Our own production and carry-forward stocks this season will be able to meet the consumption requirements of the country," Pawar told reporters on the sidelines of an industry conference.

He said it is better to import raw sugar rather than processed white sugar since the price of the former is less and it also generates employment.

Import of raw sugar also leads to a better capacity utilisiation of the mills, Pawar said.

Imported raw sugar has to be exported after processing within 24 months of import. However, if there is a need, it can be sold in the domestic market during this period in the interest of the consumers, Pawar said.

"This will provide a cushion against any major rise in domestic prices," the minister said.

According to Indian Sugar Mills Association, India's closing stock for sugar is projected to fall to 3 million tonnes in 2004-05 from 8.5 million tonnes in the previous year.

The association also said sugar output""which was at 13.8 million tonnes in 2003-04""is likely to fall to 12 million tonnes in the current year.