India: Sugar Semi-annual

India’s centrifugal sugar (sugar) production forecast in marketing year (MY) 2022/23 (October-September) is unchanged from the previous estimate of 35.8 million metric tons (MMT), equivalent to 33.4 MMT of crystal white sugar. Yields from favorable rainfall in Maharashtra and Karnataka are offset by slightly reduced production in Uttar Pradesh due to an erratic 2022 monsoon. India’s sugar exports are forecast lower to 9.4 MMT following the estimated 11.7 MMT record achieved in MY 2021/22. Industry sources report that the Indian government may restrict sugar exports to 8 MMT in the 2022/23 forecast year, as it attempts to maintain regular domestic sugar prices for consumers following a period of high food inflation. India’s flourishing ethanol industry is expected to utilize sufficient sugarcane and derivative supplies that may further increase production in 2023.