Sugar exports up 57% to record 109.8 lakh tonnes in 2021-22, cane arrears at `6,000 cr

New Delhi: India's sugar exports rose 57 per cent to 109.8 lakh tonnes during 2021-22 marketing year ended September, resulting in foreign currency inflow worth about Rs 40,000 crore into the country, the government on Wednesday said.

Sugarcane arrears to farmers stood at only Rs 6,000 crore at the end of 2021-22 marketing year (October-September) as mills have already paid Rs 1.12 lakh crore to farmers out to total payable amount of Rs 1.18 lakh crore.

In 2021-22 marketing year, the food ministry said that "India has emerged as the world's largest producer and consumer of sugar as well as the world's 2nd largest exporter of sugar".

A record of more than 5,000 lakh tonnes sugarcane was produced in the country during 2021-22, out of which about 3,574 lakh tonnes were crushed by sugar mills to produce about 394 lakh tones of sugar (sucrose).

Out of this, 35 lakh tonnes of sugar was diverted to ethanol production and 359 lakh tonnes of sugar was produced by sugar mills.

"The season has proven to be a watershed season for Indian sugar sector. All records of sugarcane production, sugar production, sugar exports, cane procured, cane dues paid and ethanol production were made during the season," the ministry said in a statement.

India also achieved the highest exports of about 109.8 lakh tonnes, without any financial assistance from the government.

In May, the government had allowed exports of 100 lakh tonnes of sugar, but later permitted another 12 lakh tonnes.

This took the total export quota for 2021-22 marketing year to 112 lakh tonnes. Mills were able to ship 109.8 lakh tonnes.

India's sugar exports stood at 70 lakh tonnes in 2020-21 marketing year, 59 lakh tonnes in 2019-20 and 38 lakh tonnes in 2018-19.

"Supportive international prices and Indian government policy led to this feat of Indian sugar industry. These exports earned foreign currency of about Rs 40,000 crore for the country," the ministry said, adding that timely government interventions in the past five years brought the sector out of financial distress.

During 2021-22 marketing year, sugar mills procured sugarcane worth more than Rs 1.18 lakh crore and released payment of more than Rs 1.12 lakh crore with no financial assistance (subsidy) from the central government.