The country's sugar production has increased by 24% to 21.8 million tones till February 15 of the 2010-11 sugar season, industry body ISMA said. Sugar output was 17.58 million tones in the same period last season. The sugar season runs from October to September.
Sugarcane crushing in Maharashtra, the country's top sugar producing state, is still continuing, while it is drawing close in Uttar Pradesh, second biggest producing state. ISMA, which represents the private mills, has pegged India's total sugar output at 25 million tones this year, as against nearly 19 million tones in the 2009-10 sugar seasons.
As production is expected to outstrip the demand, the country has started exporting the sweetener. The government initially allowed mills to fulfill the export obligation of nearly one million tones under the Advance Licence Scheme. Recently, export of 5,00,000 tones of sugar export under the open general licence (OGL) was also allowed. Domestic Prices have also softened to Rs 30-32 per kg in the national capital from nearly Rs 50 per kg in mid-January 2010.
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