Sugar Price Drops to Rs 27,478 per Ton, Down 11%

The ex-factory price for the 2024 sugar harvest has been set at Rs 27,478 per tonne, following a meeting of the committee responsible for finalizing the harvest accounts. Devesh Dukhira, CEO of the Sugar Union, announced this on Monday morning.

The ex-factory price is what is paid to sugar growers and producers. Dukhira explained that the Rs 27,478 per tonne is the net amount received by sugar producers, whether they are mills or farmers.

Compared to the 2023 harvest, this price represents an 11% decline. In 2023, the ex-factory price was Rs 30,951 per tonne.

Dukhira pointed out that the years 2022 and 2023 were exceptional, with unusual market conditions, as sugar prices in Europe had surged during that period.

He also noted that despite the drop, the decline in global markets was much steeper. For example, European sugar prices fell by 30%, whereas in our local market, the decrease was only 11%.

The aim of setting this price was to limit losses and maintain an acceptable level for producers. Dukhira added that the focus now is on targeting the most profitable markets.

Source: Defi Media