Sugar production hits record 26.95 lakh tn

The country has produced a record 26.95 lakh tonne sugar as on November 30 in the 2006-07 (October-September) sugar year. This is an increase of about 22 per cent over the last year's corresponding production of 21.95 lakh tonne.

Of this year's output, 14.93 lakh tonne was produced by co-operative sugar factories and 12.02 lakh tonne by private sugar mills. State-wise, Maharashtra, has been leading thus far with 10.47 lakh tonne.

Uttar Pradesh stands second with 7.23 lakh tonne, while Karnataka is at third spot with 3.18 lakh tonne, according to the National Federation of Cooperative Sugar Factories and the Indian Sugar Mills Association.

Sentiment in sugar market is, however, not bullish as prices - both domestic and international - have been declining.

Prices in the spot market have fallen by Rs 50-70 to Rs 1600-1650 a quintal in this month as a result of the export ban and projected increase in production.