Delhi, 28th February 2020: In a notification issued on the 28th day of February 2020, the food ministry has allocated 21 LMT monthly sugar quota for March to each of 545 mills in India.
The allocated quota for March 2020 is 3.5 LMT lower than March 2019’s month quota that stood at 24.5LMT. In the previous month the Govt. allocated 20 lakh MT monthly sugar quota in February 2020 to 534 mills in the country. Sugar millers have witnessed moderate demand in the month of February due to continuous piling of sugar stocks owing to sharp fall of sugar production in the new sugar season. As per sources, traders in the industry are quite interested in stocking of sugar to enjoy the suitable benefits of the market trend with good demand seeing coming from the dawn of summers in the country and assuming that they will take pick. Therefore market men are optimistic about the sentiments to remain positive, demand to be good and prices to be firm.
The group sugar producing companies having more than one sugar producing units 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 Maximum quantity of white/refined sugar for domestic sale and dispatch during the month of March 2020 been worked out on the basis of the following parameters:
The March 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 January 2020.
The notional month-end stock for the month of February 2020, has been worked out on the basis of month end stock for January, 2020 (as reported on P-II) adjusting the difference in the actual and the estimated production of February 2020 (received from sugar mills) further adding the sugar lifted from sugar mills for export as per 4.3 column P-II and subtracting actual release for February 2020.
The difference in the actual and the estimated sugar sacrificed for producing ethanol with B heavy molasses/sugarcane juice/sugar syrup/sugar of January 2020 has been adjusted. Incentive in lieu of estimated sugar sacrificed for the month of February 2020 (received from sugar mills) for producing ethanol from B heavy molasses/sugarcane juice/sugar syrup/sugar has been given for issuing stock holding limit Order for the month of March 2020.
Show Cause Notices (SCNs) was issued to the sugar mills for violation of stock holding order for the month of October 2019. Except 3 sugar mills, replies to SCNs have been received from other sugar mills which are under examination. The excess quantity sold by the said 3 sugar mills have been deducted from the proposed allocation in the month of March 2020.
To view the Notification Click Monthly Release Order March 2020
To Listen to this News click on the play button.