India’s Sugar Production For 2025/26 Estimated At 29.3 Million Metric Tons

India’s sugar industry is expected to produce 29.3 million metric tons of sugar in the 2025/26 season, as per the Indian Sugar Mills Association (ISMA). The forecast comes amid steady demand, ethanol blending initiatives, and ongoing efforts to stabilize the sector despite climatic uncertainties.  

Industry experts highlight that while production remains robust, diversion of sugarcane towards ethanol manufacturing continues to impact overall availability. The government’s push for ethanol blending in fuel is expected to reduce surplus sugar stocks, ensuring better price stability for farmers and millers.  

Key Highlights  

• India’s sugar production projected at 29.3 million metric tons for 2025/26  
• Estimate released by Indian Sugar Mills Association (ISMA)  
• Ethanol diversion continues to influence sugar availability and stock levels  
• Production expected to meet domestic demand and support export commitments  
• Government initiatives aim to balance farmer incomes, mill profitability, and energy security  

Strategic Impact  
The projection underscores India’s ability to maintain stable sugar output despite challenges such as erratic rainfall and rising input costs. Analysts note that ethanol blending policies will play a critical role in shaping the sector’s future, reducing dependence on surplus exports while supporting renewable energy goals. For farmers, stable production levels ensure consistent demand for sugarcane, while millers benefit from diversified revenue streams.  

Sources: Reuters, Economic Times, Business Standard