NEW DELHI, Dec 21 (Reuters) - India needs to import an additional 2 million tonnes of sugar in the year to September to tide over a shortage, a leading producer said on Monday.
The country has contracted to import 2.9 million tonnes of raws and 0.9 million tonnes of whites in the season that began in October, Narendra Murkumbi, chief executive of Shree Renuka Sugars the top refiner, said.
Murkumbi, who assumes charge on Tuesday as vice president of Indian Sugar Mills Association, an apex body of private sugar producers, said India had an opening stock of 1.35 million tonnes of imported raws and 0.15 million tonnes of whites on Oct. 1 from overseas purchases.
"So, altogether, we will have 5.3 million tonnes of sugar for consumption in 2009/10. We believe we need an extra 2 million tonnes," Murkumbi said.
An acute shortage of cane trimmed the country's sugar output to 14.7 million tonnes in 2008/09, down 44 percent from a year ago.
Falling output forced India, the world's top consumer and the biggest producer behind Brazil, to allow tax-free imports of raws and whites in April to improve supplies in domestic markets.
Benchmark prices in New York SBH0 and London LSUc1 have scaled new peaks, helped by large imports by India.
Source : REUTERS