MUMBAI/NEW DELHI- India has contracted to export about 5.6 million tons of sugar since the government said late last year that mills could ship up to 6.1 million tons of the sweetener by May, government, trade and industry sources said.
Dealers have already shipped about 2.5 million tons of the total contracted quantity, said the sources, who asked not to be named because they are not authorized to talk to the media.
Indian mills have exported almost an equal amount of raw and white sugar, with the raw variety sold between $480 and $510 a ton free on board (FOB) and white sugar at $485-$540 a ton FOB, they said.
India, the world’s biggest producer of sugar and the second biggest exporter, sells the sweetener to countries across Asia, Africa and the Middle East.
After record exports of more than 11 million tons in the previous season to Sept. 30, 2022, the government allowed mills to export only 6.1 million tons of the sweetener in the current season.
Authorities said they could take a view on the second tranche of sugar exports after getting a clearer idea about local production.
The government will assess production next month, the sources said.
The Indian Sugar Mills Association said that mills have produced nearly 4 percent more sugar since the current season started on Oct. 1. — Reuters
