ChiniMandi, New Delhi: In a notification issued on 30th day of September 2021, the food ministry has allocated 24 LMT monthly sugar quota for October 2021 to 558 sugar mills which is higher than 1 LMT in comparison to the quota allocated in October 2020. Furthermore an extension of 30 days to sell the unsold stocks of September 2021 has also been announced. Click here to view the notification
In the previous month the Govt. allocated 22 LMT with an additional quota of 2.50 LMT for domestic sale in the month of September 2021.
According to marketmen, though there are major Hindu festivals Navratri & Diwali coming up, the market will remain under pressure due to unsold stocks of September 2021 and a higher quota announced for October 2021 in comparison to previous year’s quota for the month of October.
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 September 2021 been worked out on the basis of the following parameters
The October 2021 stock holding limit has been worked out on the basis of giving 100% weightage to the month end notional stock for the month of September 2021.
The notional month-end stock for the month of September 2021, has been worked out on the basis of month end stock for August 2021 (as reported on P-II) further adding the sugar lifted from sugar mills after 1st August, 2021 for export as per 4.3 Column of P-II and subtracting August, 2021 for September 2021.
Besides, 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 August 2021. 100% incentive on sugar sacrificed for producing ethanol from B-heavy molasses/ sugarcane juice/sugar syrup/sugar has been given.