Raise current sugar export cap by 1 mn tonnes: Pawar to PM

NCP chief and former agriculture minister Sharad Pawar has written to Prime Minister Narendra Modi requesting him to raise the cap on sugar exports by 1 million tonnes.

Last month, the government imposed a cap of 10 million tonnes on sugar exports for the 2021-22 marketing year ending September to ensure enough supply during festival season in October and November, and check prices. Mills have already exported around 8 million tonnes of sugar so far in this marketing year.

India exported a record 7 million tonnes of the sweetener in the 2020-21 marketing year (October-September).

National Federation of Cooperative Sugar Factories (NFCSF), in a statement, expressed concern that the capping of current year's sugar export at 10 million tonnes has led to less export release orders issued to cooperatives.

''The export release orders (EROs) issued to cooperatives is barely 47 per cent which in our opinion is not in tune with performers vis-a-vis non-performers. Balance 53 per cent raw sugar remaining without EROs will cause a heavy financial loss if not permitted for exports as there is no local market for this stock which tends to deteriorate in storage,'' the cooperative body said.

NFCSF also mentioned that these anomalies have been brought to the notice of the Prime Minister by the NCP chief.

According to the cooperative body, Pawar has written to the Prime Minister bringing these anomalies his notice and requesting him to increase the current cap by 1 million tonnes.

Pawar has also urged continuation of sugar export under Open General Licence in the next marketing year starting October 2022, it further said, quoting the letter.

India is the world's largest sugar producing nation and second biggest exporter.