MUMBAI, Feb 10: India, one of the world’s leading sugar producers, is expected to export at least 500,000 tons of the commodity in this year mainly to neighbouring countries like Pakistan, a trade official said on Friday.
“I expect at least half a million tonnes to be exported this year. I understand that 200,000 to 250,000 tons have already been contracted for export,” C S Nopany, president of the Indian Sugar Mills Association, told reporters.
“It could even touch one million tons,” Nopany said. “The exports are likely to go to neighbouring countries such as Pakistan, Nepal and Bangladesh.”
Nopany told the meeting the global sugar market would continue to remain firm and prevailing prices could turn bullish in the near future, providing Indian mills with an excellent opportunity to boost exports.
India has the strategic advantage of being surrounded by large importing countries like Pakistan in dire need of sugar supplies this year.
Trading Corporation of Pakistan (TCP) on Monday issued a tender to buy 50,000 tons of white sugar from India, with shipments through sea, rail or land routes in March and bids to be submitted by Feb 16.
Pakistan, which needs 800,000 tons of imported sugar in 2006 to meet domestic demand, ended a four-year ban on imports from its rival last year as ties between the two South Asian nations improved.
Last week, Islamabad said it planned to allow sugar from India to enter via a land border crossing in order to cut transportation time and quickly tackle shortages.
“The Indian sugar industry is well placed to take full advantage of this opportunity and emerge as a major global supplier of sugar,” Nopany said.—Reuters
