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ISMA Cuts Sugar Production Estimate to 32.8 MT, Diverts 4 MT Towards Ethanol

Despite the drop in sugar production, several industry experts predict that ethanol diversion would remain stable at 4.5 million tonnes, up from 3.6 million tonnes in 2021-22 (October to September).

Shivam Dwivedi
ISMA Lowers Sugar Production Estimate to 32.8 MT, Diverts 4 MT Towards Ethanol
ISMA Lowers Sugar Production Estimate to 32.8 MT, Diverts 4 MT Towards Ethanol

The Indian Sugar Mills Association (ISMA) has reduced the country's sugar production estimate to 32.8 million tonnes in the current marketing year, which ends in September, from the previously projected 34 million tonnes, while also expecting 4 million tonnes of sugar to be diverted to ethanol, as opposed to the previously estimated 4.5 million tonnes.

The negative revision is due to a drop in Maharashtra sugar output to 10.5 million tonnes in the 2022-23 marketing year (October-September) from a previous prediction of 12.1 million tonnes. The sugarcane crushing period has ended in Maharashtra.

The production of ethanol from sugar-containing raw materials is a well-known and well-mastered technique. Sugar-based ethanol is sometimes referred to as Brazilian fuel because Brazil generates the second most ethanol in the world from sugarcane, after maize ethanol in the United States.

"ISMA has updated its all-India sugar production projection for 2022-23 (after diversion into ethanol) to 32.8 million tonnes after considering a diversion of about 4 million tonnes of sugar equivalent into ethanol," the group said in a statement on April 26.

ISMA anticipated output of 34 million tonnes in January, after accounting for 4.5 million tonnes diverted to ethanol.

About ISMA:

The Indian Sugar Mills Association (ISMA) is India's leading sugar organization. It serves as a liaison between the government and the sugar sector (both commercial & public sugar mills). The primary goal is to ensure that the operations and interests of both private and state sugar mills in the country are protected by the government's conducive and growth-oriented policies.

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