Says would improve cash flow of mills,help farmers pay better prices to growers.
The government should allow 2.5 million tonnes of sugar export from Maharashtra in the current marketing year to help millers pay good prices to farmers, Science and Technology Minister Vilasrao Deshmukh said on Monday.
"We have demanded allowing export of 2.5 million tonnes of sugar this season (from Maharashtra) as our output is expected to be higher this year," he told reporters after meeting Food Minister K V Thomas here.
Deshmukh, former Chief Minister of Maharashtra, noted that allowing exports would improve cash flow of mills and help them pay better prices to growers.
Sugar production in Maharashtra, the country's largest producing state, stood at 9.1 million tonnes (MT) in 2010-11 marketing year (October-September) and is expected to be higher in the current marketing year, he added.
Deshmukh pointed out that cane crushing in the state has been delayed as farmers are demanding higher prices up to Rs 330 per quintal.
The crushing, which was expected to start from this month itself, also got delayed because of labour shortage, he added.
"There is ample sugar in the country. The new crushing season will add to the existing stock," he said. India, the world's second largest sugar producer, had produced 24.3 MT in the last marketing year.
The annual demand stood at 21.5 MT. In the current year, the output is pegged at up to 26 MT and industry is demanding export of 4 MT as against 2.6 MT in the last marketing year.
