ISMA writes to PMO to raise sugar minimum sale price

The Indian Sugar Mills Association (ISMA) has once again written to the Prime Minister’s Office (PMO) to increase the minimum sale price (MSP) of sugar from the current ~31 per kg to atleast ~3435 per kg in line with the recent increase in fair and remunerative price (FRP) sugarcane to ~290 per quintal. ISMA said that it is not correct to say that higher realization from ethanol or other sources can compensate for lower realization from sugar because even now 80 per cent of the total revenue of a sugar mill comes from sugar. It said though FRP has been increased several times in the last few years but MSP of sugar has not been raised since the last 30 months. ISMA said any increase in MSP won’t impact the consumer price in the market ahead of the festival season as already the ex-mill price of sugar in the country is prevailing at around ~34-35 per kg.