Reaction from the field
The Chaudhary Devi Lal Cooperative Sugar Mill in Haryana is poised to make a significant impact on the global market by exporting sugar to African countries during the upcoming 2025–26 crushing season. This strategic move is expected to not only enhance the mill’s revenue but also solidify Haryana’s reputation for producing high-quality sugar that is in demand internationally.
The mill has been granted permission to export approximately 16,500 quintals of sugar, a substantial portion of its production. This decision comes as the mill crushed 22.08 lakh quintals of sugarcane, yielding around 1.86 lakh quintals of sugar during the current season. The remaining stock will be distributed between exports and sales in local markets, ensuring that the mill maximizes its output.
Officials have indicated that entering the global market is likely to open up further export opportunities in the future. The sugar produced in Haryana is recognized for its quality, making it a favorable choice for international buyers. The mill’s target price for sugar exports is set at around Rs 4,000 per quintal, which aligns with market expectations.
In addition to sugar, the mill has also excelled in the sale of bagasse, a byproduct of sugar production. It recorded the highest price for bagasse sales among cooperative mills in the state, selling around 10,000 quintals at Rs 316 per quintal. This diversification of revenue streams is crucial for the mill’s financial health and sustainability.
The Haryana government has been supportive of the mill’s export initiatives, recognizing the potential benefits for the local economy. With tenders for export expected to be issued soon by the sugar federation, the mill is preparing to capitalize on this opportunity.
However, the global economic landscape remains uncertain, particularly due to ongoing geopolitical tensions and their potential impact on trade. As highlighted by experts, the war in Iran poses a ‘major, major threat’ to the global economy, raising concerns about supply disruptions. This backdrop could affect the sugar market, making it imperative for the mill to navigate these challenges carefully.
As the Chaudhary Devi Lal Cooperative Sugar Mill embarks on this journey into the global market, the outcomes of these export efforts will be closely monitored. Details remain unconfirmed regarding how external factors may influence the mill’s operations and profitability in the coming months.
