Now Reading: No sugar shortage, minister blames El Nino and Red Rot disease
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No sugar shortage, minister blames El Nino and Red Rot disease
Union minister Prahlad Joshi has denied any sugar shortage in India, pinning the recent sharp price rise on an unexpected Red Rot disease in sugarcane and global El Nino weather conditions. Retail…
Union minister Prahlad Joshi has denied any sugar shortage in India, pinning the recent sharp price rise on an unexpected Red Rot disease in sugarcane and global El Nino weather conditions. Retail sugar prices have crossed Rs 65 per kg in many markets during the ongoing festival season, triggering opposition attacks against the Narendra Modi government.
Speaking to media, Joshi rejected opposition claims that diversion of sugarcane for ethanol production is causing the price spike. He said India needs about 28 million tonnes of sugar annually and currently has a surplus stock of around 3.6 million tonnes. The government has directed state administrations to release available stocks into the market and is also allowing temporary imports of raw sugar to cool prices ahead of major festivals.
Indian Opinion Analysis
The sugar price spike hits hardest during India's festive season when demand for sweets is highest. India is the world's second-largest sugar producer after Brazil, and any domestic output drop has global ripple effects. The Red Rot disease mentioned by Mr Joshi is a fungal infection that devastates sugarcane crops, particularly in Uttar Pradesh, India's biggest sugar-producing state. The government's decision to allow raw sugar imports as a temporary measure is a sharp reversal from the export restrictions imposed earlier this year to control domestic prices. The next key number to watch is the monthly domestic sugar production data for October, which will show whether the surplus stock of 3.6 million tonnes is enough to cover the festive demand without further price rises.
Source: aajtak.in
This story was synthesised by AI from the source linked above.
