The Centre has notified that each of the 535 sugar mills of India can sell 20.5 lakh tonne of sugar in the open market during November. It is 1.5 lakh tonne less compared to last year same month. In addition, those mills that have completed more than half of the export quota during the 2018-19 season (October-September) has been given additional quota of sugar.
Last year, Diwali and other festivals fell in November and the quota was fixed higher, while this year current month's allocation of sugar quantity is lower as there is no festival demand. The government has decided to keep 40 lakh tonne of buffer stock of sugar in 2019-20 season.
Sugar mills are likely to commence crushing operations from November 15. India's sugar production was 331 lakh tonne in the 2018-19 marketing year (October-September) as against the annual domestic demand of 250-260 lakh tonne.
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