Brazil and Thailand, the world’s two largest sugar exporters, have been hit harder than last year by climate change.
It is expected to reduce production by 7-8 metric tons per capita. Indian exporters It is likely to get better opportunities in the export markets this year.
Petrol consumption in India is increasing at a compound annual growth rate (CAGR) of 4-5%. “The demand for ethanol in India over the next 3-4 years is double barrel growth”, said Vinit Bolinjkar, Head of Research at Ventura Securities Ltd. Domestic ethanol supply has not been able to meet this demand. Therefore, the ethanol blending business in sugar mills is increasing these days, he said.
Deficit in global sugar production, Based on the opportunities that arise from ethanol and bioenergy, the sugar sector appears to be moving forward on a sustainable growth path.
Any reversal in central and state government policies or slowing down the ethanol blending target may be a major concern.