Changing Profile of Sugar Industry -A Pointer to Future Trend?

Sugar industry is one among the key industries in India in terms of its production, by- products and people involved in cane cultivation and other allied activities.A Considerable growth in cane cultivated area, output, sugar produced, had witnessed in the country during the said industry has been suffer from numerous issues connected with it. Though growth in area under Sugar cane cultivation and crop yield is witnessed yet still a poor cane crop management practices is associated with it.More over, diversion of cultivated cane towards Gur production is also increased in the country. It may be because of intimacy of Gur producers with cane cultivators as well as quick payments by Gur producers against cane supplied. Besides most of the Indian sugar mills are with outdated technology coupled with poor financial viability.Thus, it is suggested that the period of free sale Quota in the form of incentive schemes for new factories be raised, so that the economic position of the factories could be strengthened.The BCIP, shall undertake a fresh study on the mode of incentives to be granted to new sugar factories and expansion projects from 1-4.1994 till the end of EIGHT FIVE YEAR PLAN.Also identified that to promote more cultivation which is key factor in sugar industry promotion, Minimum Cane Price announced by the GOI should be attractive relatively to other crops. Since almost all the sugar factories are located at remote rural areas, which requires better transportation facilities in order to transport most perishable crop like sugar cane. Also suggested that financial viability of the sugar factories should be improved like., Hyke in Molasses price as well as increase in levy sugar price