Sugar output up 2% in Oct-Feb; export contracts at 1.2 mn tons

India's sugar production rose by 2 per cent to 19.94 million tonnes during the first five months of the current marketing year, starting October, while mills have contracted to export 1.25 million tonnes of the sweetener.
Out of 513 sugar mills, 107 mills have so far shut their operations, mostly in Maharashtra due to scarcity of sugarcane in view of deficient monsoon last year.
"From the beginning of the season, from 1st October 2015 to 29th February 2016, sugar mills have produced 199.47 lakh tonnes of sugar, as compared to 195.58 lakh tonnes produced during the same period in 2014-15 sugar season," Indian Sugar Mills Association (ISMA) said in a statement.

Sugar marketing year runs from October to September.
On exports, the association said that 1.25 million tonnes have been contracted as per information provided by sugar mills. One million tonnes have been moved from factories for exports.
Sugar production in Maharashtra stood at 7.04 million tonnes during October 2015 to February 2016 period against 7.47 million tonnes in the corresponding period of the previous marketing year.

In Uttar Pradesh, mills have produced 5.36 million tonnes of sugar till February as against 4.95 million tonnes produced during the same period in 2014-15.
Sugar production in Karnataka have produced 3.60 million tonnes of sugar, up 2,96,000 tonnes from the year-ago period.

"During the current 2015-16 sugar season, out of 513 sugar mills which started operations, 107 have shut their operations by 29th February 2016. Last year, out of 517 sugar mills which were in operation between 1st October and 28th Feb. 2015, 13 had shut their operations," ISMA said.
Sugar production of India, the world's second-largest producer and biggest consumer, is estimated to decline at 26 million tonnes in 2015-16 marketing year against 28.3 million tonnes in the previous year on deficient rains.