Sugar production may total about 26 million tons in 2019-20 if some cane juice and B-heavy molasses are used to make ethanol, according to the statement.
Sugar farmers in India had been hit by adverse weather this year. First, the annual monsoon, which waters more than half the nation’s farmland, arrived later than normal. As rainfall increased, flooding then hurt crops in some areas of Maharashtra and Karnataka, the country’s second and third-biggest producing regions. Meanwhile, precipitation in Uttar Pradesh, the biggest grower, was 9% below normal.
A separate industry body also estimated that Indian output will drop. Sugar production could slide to between 26 million tons to 26.5 million tons in 2019-20, compared with 33.1 million tons a year earlier, the National Federation of Cooperative Sugar Factories Ltd. said on Monday.
Sugar stockpiles in India are seen rising to a record 14.58 million tons as of September 2019, the Indian Sugar Mills Association said.