TN sugar mills seek support from Centre, state
The sugar mills in Tamil Nadu have sought help from the central and state governments to improve their performance in the next sugar season starting October, 2018. The industry, which thanked the central government for favourable decisions on subsidy and others, has asked the state government to allow them produce power from the co-gen facilities, which will help them improve performance.
The industry in Tamil Nadu has reported the lowest recovery in last five years, during the season ending September this year, owing to the lack of proper rainfall.
According to the South Indian Sugar Mills Association, Tamil Nadu (SISMA TN), the capacity utilisation for the season ending September, 2018 has come down to 27 per cent from the pervious year’s 39 per cent. The quantity of cane crushed was around 8.2 million metric tonne compared to 11.9 million metric tonne during the previous season. The sugar production has come down to 7,08,000 metric tonne compared to over one million metric tonne during the previous year.
The cost of production of Tamil Nadu Sugar will be higher than rest of India by ~10 per kilogramme, said the organisation.