G20 Advocates Long-Term Sugar Policy to Propel India to Developed Nation Status By 2047
G20 Sherpa Amitabh Kant advocated for a “long-term predictability and consistency policy” for the sugar sector, emphasising its crucial role in making India a developed economy by 2047.
Kant’s comments come amid industry demands for lifting a sugar export ban and increasing the minimum selling price of sugar in line with cane prices. Speaking at a conference organised by the All India Sugar Trade Association (AISTA), he stated, “I totally agree that we need a long-term predictability and consistency of the policy. Otherwise, it will be difficult for the sector.”
Highlighting the sector’s importance, Kant noted that sugar contributes 1.1 per cent to the country’s GDP and plays a pivotal role in reducing crude import bills, energy transition, promoting the circular economy, and achieving net zero emissions. “The sugar industry will be a major driver to make India a developed economy by 2047,” he added.
Kant urged the industry to explore diversification beyond ethanol and invest in research for developing high-yielding, low water-consuming cane varieties, given India’s limited water resources compared to the top producer Brazil.
Union Minister of State for Food Nimuben Bambhaniya said the government has taken several steps towards making India self-sufficient in sugar. Industry leaders at the event pushed for policy changes and export allowances.
Atul Chaturvedi, Executive Chairman of Shree Renuka Sugars Ltd, noted that India’s sugar export ban has benefited Brazil significantly. “Even if India opens the exports, it will get crumbs as the cream has gone,” Chaturvedi said.
Harshwardhan Patil, Chairman of the National Federation of Cooperative Sugar Factories (NFCSF), urged the government to permit the export of 2 million tonnes of sugar, warning that frequent policy changes could lead to industry collapse. Patil also revealed that NFCSF is preparing a 10-year roadmap with long-term policy suggestions for the sugar industry, to be submitted to the central government on August 2024.
