Sugar production likely drop 8.4 pc; to fall for 2nd straight year in 2019-20: USDA

India's sugar production is likely to decline 8.4 per cent to 30.3 million tonnes for the second straight year in the 2019-20 marketing year that would begin from October because of likely fall in sugarcane output, a latest USDA report said.

The sugar output in the ongoing 2018-19 marketing year (October-September) is pegged at 33 million tonnes, lower than 34.3 million tonnes achieved in the previous year.

"The 2019-20 sugar production is forecast to decline 8.4 per cent to 30.3 million tonnes, its second consecutive year of decline," the US Department of Agriculture (USDA) said in its latest report.

This includes 6,00,000 tonnes of khandsari and 29.7 of mill sugar, it said.

According to the USDA, "lower than expected cane production in the out-year coupled with a net reduction in the national-average sugar recovery rate will reduce cane availability for direct crush-to-sugar and proportionately moderate sugar output as well."