ChiniMandi, New Delhi: In a notification issued on 27th day of November 2020, the food ministry has allocated 21.5 LMT monthly sugar quota for December 2020 to each of 550 mills in India.
The allocated monthly sugar quota for December 2020 is the same as the quota allocated for December 2019. In the previous month the Govt. allocated 22.5 LMT monthly sugar quota for November 2020 to 548 mills in India.
According to market experts, until there is no announcement of hike in MSP of sugar there may be demand for stocking likely to be witnessed in the market.
The group sugar producing companies having more than one sugar producing unit may maintain the stock as defined in Para (1) of this Order, either unit wise or for the group as a whole. The sugar-mill wise December 2020 been worked out on the basis of the following parameters:
The December 2020 stock holding limit has been worked out on the basis of giving 100% weightage to the month end notional stock for the month of November 2020.
The notional month-end stock for the month of November 2020, has been worked out on the basis of month end stock for October, 2020 (as reported on P-II) further adding the sugar lifted from sugar mills for export as per 4.3 column P-II and subtracting actual release for October 2020.
The incentive in lieu of sugar sacrificed for producing ethanol from B-heavy molasses/sugarcane juice/sugar syrup/sugar has been given corresponding to the ethanol production for October 2020 for stock holding limit order for the month of December 2020.