New Delhi (PTI): The Government on Tuesday indicated that it would not allow export of sugar from the country in view of lower estimated production in 2008-09 season and said it is seriously considering allowing import of raw sugar.
"We will see," Food and Agriculture Minister Sharad Pawar told reporters here, when asked whether the government would allow export of sugar.
From January 1, the Centre has re-introduced the release order mechanism, under which exporters need prior permission from the Food Ministry for making sugar shipment, as the country's output is estimated to fall to 190 lakh tonnes from 264 lakh tonne last season.
Pawar said as per the reports received from states, the sugar production scenario is not encouraging. States have changed their sugar production estimates thrice since October and every time there was a lower estimate than the previous.
"We want that an assessment is done by January-end about the overall output, annual domestic requirement and carryover stocks. And after that the issue of allowing export would be decided," the minister said.
On whether there is a need to ban sugar shipment when the government is already regulating export, Pawar said, "there is no ban as such."
However, Pawar noted that India is not in a position to face the global sugar market, unless there are financial concessions from the government -- which he said would not be offered. Indian sugar prices are higher than global rates.
On allowing sugar import, Pawar said: "We are seriously thinking to allow import of raw sugar with a condition that sugar has to be exported (later)". The proposal is to allow exports on 'tonne-to-tonne' basis, aimed at helping mills to sell imported sugar in the domestic market after refining.
He said the Centre may decide on the issue of allowing raw sugar import in a fortnight.
Source : The Hindu