INDIA: Weak monsoon not likely to hit UP cane
Published: 07/18/2012, 2:23:27 PM
The weak monsoon so far has been playing truant and sugarcane production in states like Maharashtra and Karnataka have already dipped, according to India's CNBC-TV18.
In a situation like this, the Uttar Pradesh government is looking to introduce a special package for the state's sugar companies.
In an interview with CNBC-TV18, Vivek Saraogi, MD of Balrampur Chini sounded hopeful on the policy front, about rational cane pricing and other issues related to sugarcane production in UP.
Although, rainfall has been deficient in most parts of the country, Saraogi said, it is just perfect in east UP. However, according to an estimate by the Indian Sugar Mills Association (ISMA), production could be close to 25 million tonnes, he informed.
He is quite optimistic about production and feels that even if the bad monsoon affects states like Karnataka and Maharashtra, where production could be lower by 20%, it will not lead to a huge mismatch in the demand-supply equation. Rather, it will be much more balanced this year.