India’s sugar stock enough despite output drop

New Delhi

India will have enough sugar stock to meet domestic needs in late 2025, even though production has dropped this season. The National Federation of Cooperative Sugar Factories (NFCSF) said the closing stock is expected to be 4.8 to 5 million tonnes by the end of the 2024–25 sugar season.

The sugar season in India runs from October to September. As of May 15, sugar production has fallen by 18.38%, reaching 25.74 million tonnes, compared to 31.54 million tonnes during the same period last year. The main reasons for this drop include lower sugar recovery, now at 9.30% from 10.10%, and reduced sugarcane supply. Only 276.77 million tonnes of cane were crushed this season, down from 312.26 million tonnes last year.

Total sugar production for 2024–25 is expected to reach 26.11 million tonnes, down from 31.9 million tonnes in the previous season. Despite this decline, the federation believes current stock will be enough for October and November 2025.

Looking ahead, NFCSF expects sugar output to rise in 2025–26 due to good monsoons and more cane planting in Maharashtra and Karnataka.

Ex-mill sugar prices remain steady between ₹3,880 and ₹3,920 per quintal, supported by low supply and limited export permissions. The federation has asked the government to raise the Minimum Selling Price of sugar to cover rising costs. They also want a 5 million tonne sugar diversion for ethanol, higher ethanol buying prices, and a consistent export policy to support the industry.