India Imports Sugar for First Time in a Decade Amidst Festive Season Demand and Production Shortfall
Facing an unprecedented sugar shortage, India is importing one million tonnes of the sweetener to meet surging demand during the festive season.
By Global Focus Wire Desk
Facing an unprecedented sugar shortage, India is importing one million tonnes of the sweetener to meet surging demand during the festive season. The price surge has been attributed to reduced rainfall during El Niño, hoarding, and tighter global supplies after adverse weather affected other major producers. Experts argue that overestimation of India's own production led to sugar exports before the shortage became apparent. With domestic consumption expected to be 30.6 million tonnes in the current season, a 12% drop from the government's earlier estimate, imports will provide a much-needed buffer. The last time India imported sugar for domestic consumption was during a drought nearly a decade ago. Measures such as early cane crushing and special economic zone refineries selling duty-free sugar in the domestic market are being implemented to alleviate the shortage. However, erratic weather and disease continue to threaten the upcoming sugarcane harvest, raising concerns about another lean season for India's sugar industry.
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