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Cooperative sugar mills want permission of 5 lt additional sugar exports

26 Jul 2011 Evaluate

Cooperative sugar mills have asked the Food Ministry to allow export of an additional five lakh tonnes (lt) under open general license during the current 2010-11 season (October-September). This is over and above the already permitted quantity of 10 lt.

The mills have argued that the domestic stocks position is comfortable and global prices are also good so the additional quantity should be granted, to reap the advantage of prevailing high prices in the global markets.

The ongoing sugar season till June has recorded a domestic output of 239.59 lakh tonnes (lt) and they estimate that the country would have an exportable surplus of over 20 lt during the 2011-12 season.

Not only the permission of more imports, the cooperative body has also sought freeing sugar mills from the obligation to supply 10 per cent of their production as levy at below market prices and phasing out the monthly release mechanism.

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