Sugar production may fall by 9% to 256 lakh tonnes in 2015-16

New Delhi: Country's sugar production is estimated to decline by over 9 percent to 256 lakh tonnes in the current marketing year ending September on account of lower sugarcane output.

Sugar production in India, the world's second largest producer after Brazil, stood at 283 lakh tonnes in the 2014-15 marketing year (October-September).

The Cane Commissioners of sugar producing states have estimated the production to be 256 lakh tonnes during the 2015-16 marketing year as against the initial projection of 260 lakh tonnes, sources said.

Maharashtra is estimated to produce around 86 lakh tonnes, while Uttar Pradesh 70 lakh tonnes and Karnataka 37 lakh tonnes. These three states are major producers.

The projection by cane commissioners is in line with the estimates made by the apex sugar industry body ISMA.

Indian Sugar Mills Association (ISMA) had said earlier this month that production might fall by 9 per cent in the current marketing year.

Sugar production fell for the first time this year with output dipping to 221.30 lakh tonnes till March 15 as against 221.57 lakh tonnes in the year-ago period.

According to ISMA, sugar exports are likely see an over 80 percent jump to 20 lakh tonnes in 2015-16 marketing year.

Sugar mills have contracted to export 14 lakh tonnes of the sweetener since October and are likely to ship out another 5-6 lakh tonnes the end of the season in September.