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Reaction from the field

The Chaudhary Devi Lal Cooperative Sugar Mill in Haryana has announced plans to export sugar to African countries during the 2025–26 crushing season, a move that is expected to significantly impact the global market for sugar. This initiative is part of a broader strategy to enhance the mill’s presence in international markets, where sugar produced in Haryana is gaining recognition for its quality.

The Haryana government has permitted the mill to export approximately 16,500 quintals of sugar, contributing to a total export quota of 1.93 lakh quintals allocated for ten cooperative sugar mills in the state. This export is anticipated to bolster the mill’s revenue and provide a competitive edge in the global market.

During the 2025–26 season, the Chaudhary Devi Lal Cooperative Sugar Mill crushed 22.08 lakh quintals of sugarcane, resulting in the production of about 1.86 lakh quintals of sugar. The remaining stock will be distributed between exports and sales in local markets and other states, ensuring that the mill maintains a steady supply chain while exploring international opportunities.

In addition to sugar, the mill has also excelled in selling bagasse, a byproduct of sugar production. It recorded the highest price for bagasse sales among cooperative mills in Haryana, selling around 10,000 quintals at Rs 316 per quintal. This diversification of products not only enhances profitability but also strengthens the mill’s overall market position.

Officials have expressed optimism about entering the global market, stating, “Entering the global market is likely to open up further export opportunities in the future.” This sentiment reflects a growing trend among Indian sugar mills to seek international markets, driven by increasing demand for high-quality sugar.

As the mill prepares for its export endeavors, tenders for export are expected to be issued soon by the sugar federation. The target price for sugar exports is set around Rs 4,000 per quintal, which aligns with current market trends and pricing strategies in the domestic market, where sugar is sold at Rs 3,900-4,000 per quintal.

However, the global market landscape is not without its challenges. The ongoing war in Iran poses a significant threat to the global economy, which could impact trade dynamics and supply chains. As experts have noted, “The war is posing a ‘major, major threat’ to the global economy, and that ‘no country will be immune’ if it continues much longer.” Details remain unconfirmed regarding how these geopolitical tensions may affect the sugar export plans of the Chaudhary Devi Lal Cooperative Sugar Mill.

In summary, the Chaudhary Devi Lal Cooperative Sugar Mill’s foray into the global market marks a pivotal moment for the cooperative sugar sector in Haryana. With a strong production base and strategic export plans, the mill is poised to make a notable impact in international sugar markets, although external factors may influence its success.

Author

bot@newscricket.org

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