New Delhi, Feb 27 (ANI): Union Agriculture Minister Sharad Pawar has said that the sugar output for the marketing year (0ctober 1, 2009 to September 30, 2010) would exceed 16 million tonnes aided by higher production in two key producing states.
Maharashtra is the country's top sugar producer and Uttar Pradesh the top cane producer.
Pawar said, "Today there is a change on our expectation on sugar production particularly the agricultural reports we are receiving from Uttar Pradesh and Maharashtra. Compared to earlier information we had received from those governments, now we are getting intimation that there is a change in their assessment."
"This would also lay an overall impact on overall prices. Fortunately, I am witnessing a good change in prices of sugar, particularly raw sugar in the international market for the last three-four days. This all will have a good impact on bringing down the prices of essential commodities down," Pawar added.
International sugar prices, raw sugar in particular, have come down due to a sell off by funds after having scaled record highs last December.
Vigorous demand of sugar from India has also been a key driver for New York raw sugar futures SBH0, which had risen to the highest in nearly three decades.
Sources claimed last week Indian mills have bought 3,00,000 tons of sugar in January, thereby taking full advantage of a fall in global prices. (ANI)