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3.97 lakh tonnes of sugar gets export release orders till now

14 Jun 2011 Evaluate

The Food Ministry, till now has issued export orders for 3.97 lakh tonnes of sugar to mills, out of the total quantity of 5 lakh tonnes that the government had allowed for overseas shipments. According to the latest data, the ministry has issued export release orders for 3,97,342 tonnes till June 13.

An Empowered Group of Ministers (EGoM) on Food, headed by Finance Minister Pranab Mukherjee, had allowed mills to export 5 lakh tonnes of sugar under Open General Licences (OGL). However, sugar mills cannot export the sweetener without a release order from the Food Ministry and that’s why the release order needs to be issued by the Food ministry. The last date for making applications for export release order is June 17 for those mills that are sourcing sweetener from third party. For mills exporting their own sugar, the deadline was June 2. Earlier, the government had allowed mills to fulfill their export obligation of about 1 million tonnes.

Sugar production in India is estimated to rise to 24.2 million tonnes in the 2010-11 sugar year (October-September) from 19 million tonnes in the previous year, while the country's annual demand is pegged at 22 million tonnes.

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