In India, sugar consumption is around 26MT and is growing at 2 %. Of the total consumption in India, about 60% goes to the industrial applications like dairy, confectionary, baking, soft drinks etc and the remaining 40% is used up by general consumers.
And 80% of sugar is produced in UP, Karnataka & Maharashtra. India has a market share of 15% of world production. FY20 is expected to be deficit year for sugar..For the current year considering drop in area in the state of Maharashtra and parts of North Karnataka, we are expecting Indian sugar production to be in the range of 27.6 – 28.9 MMT with mean production estimated at 28.3 MMT. This will be a downside to Indian sugar production after 2 year of heavy surplus.
Total sugar production in the country in the current sugar season (2020-2021) would be around 260 lakh tonnes, nearly 20 per cent lower than the 2019-20 season’s 331.61 lakh tonnes, according to the Indian Sugar Mills Association (ISMA) .