- Sugar production increased by 43% to 4.1 million tons at the start of the 2025/26 season.
- Improved efficiency and faster crushing drove the increase in production.
- Maharashtra tripled its production, and Uttar Pradesh also recorded an increase.
Clear reflection through improved performance
At the start of the 2025/26 season, the Indian sugar industry saw a strong rebound, reaching 4.1 million tonnes of sugar in October and November. This is an increase of 43% year-on-year. Behind such a turnaround is primarily an improvement in sugar recovery efficiency and intensification of cane crushing, particularly evident in the largest production regions. Higher process efficiencies have allowed mills to process the raw material faster, significantly increasing the available volume in a short period of time.
The largest contribution to growth came from Maharashtra, where production almost tripled, demonstrating the powerful impact that early start-up of crushing plants and accelerated processing can have. Uttar Pradesh, too, recorded a marked increase, strengthening the country’s raw material balance sheet right from the start of the season. In contrast, the dynamics were not positive everywhere. In Karnataka, production declined due to protests by farmers demanding an increase in cane procurement prices, reducing the availability of raw material.
Surpluses increase export potential
The strong growth in production has led to a significant surplus of sugar in the domestic market, increasing the potential for overseas sales. Industry organisations indicate that current production levels allow for a significant increase in exports, unless some of the raw material is diverted to biofuel production. This surplus has the potential to become an important balancing element in the global market, especially during periods of tight supply from competing producers.
At the same time, increasing supply from India could result in downward pressure on sugar prices on world markets, which raises challenges for producers, especially with rising operating costs. As a result, processors are again calling for an increase in the national minimum price, which has remained unchanged for more than six years. Its update would seek to offset rising processing costs and provide greater financial stability for the industry in the face of possible changes in global markets.
