Primary sugar crops market in India

Earlier Report Observations

The market volume for primary sugar crops in India grew from 379.9 million tons in 2018 to 490.5 million tons in 2023. Initial expansion in 2019 was driven by government policies that helped reduce traditional surplus cycles and by sugar price improvements linked to anticipated production deficits. A significant drop occurred in 2020, primarily due to challenges faced by monsoon-dependent sugarcane crops, which adversely affected yields.

Growth resumed strongly from 2021 onward, supported by the rising importance of ethanol blending programs which created a stable demand outlet for sugarcane. This period saw accelerated gains as farmers replaced older cane varieties with higher-yielding types and expanded planting areas in key states like Maharashtra and Karnataka, aided by favorable monsoon conditions. Concurrent increases in the Fair and Remunerative Price for sugarcane further incentivized production, leading to consistent market volume growth through 2023.

Production primary sugar crops in India

In kind, 2017-2020, M t

Between 2017 and 2020, India held the second position globally in the production of primary sugar crops.

Top producers of primary sugar crops, 2017-2020

World map of production of primary sugar crops, 2017-2020

Following two consecutive years of growth, India's production of primary sugar crops experienced a decline. In 2020, the country produced 370.5 million tonnes, marking an 8.6% decrease from the 405.4 million tonnes recorded in 2019. Over the entire 2017-2020 period, production rose by 21.1%, translating to an average annual growth rate of 6.6%. The peak was reached in 2019 with 405.4 million tonnes, while the most significant year-on-year increase occurred in 2018 at 24.1%.

Annual dynamics of production in India in kind, 2017-2020, M t

Exports primary sugar crops from India

Exports in kind, t

The export market for primary sugar crops from India showed considerable volatility during this period. Exports reached their lowest point in 2018 at 174 tonnes and peaked in 2019 at 1 154 tonnes, representing a 6.6-fold difference. In 2020, cross-border shipments dropped sharply to 224 tonnes, an 80.6% decline from the previous year. The most substantial increase was observed in 2019, with a surge of 564.0%.

Annual dynamics of product's exports from India in kind, 2017-2020, t

From 2017 to 2020, India's exports of primary sugar crops in volume terms were highly concentrated, with Nepal and Qatar accounting for 83.0% of total flows combined, while other partners made up the remainder.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from India in kind, 2017-2020

Exports in value, K $ US

The export market in value terms exhibited significant fluctuations. The lowest level was recorded in 2018 at 43.8 thousand US dollars, while the highest occurred in 2020 at 101.9 thousand US dollars, a 2.3-fold increase. In 2020, exports rose by 13.7% year-over-year to 101.9 thousand US dollars. The largest decline was in 2018 at 26.1%, and the most notable increase was in 2019 at 104.7%.

Annual dynamics of product's exports from India in value, 2017-2020, K $ US

Between 2017 and 2020, the United Arab Emirates, Qatar, and Nepal were the primary destinations for India's primary sugar crop exports in value terms, with shares of 29.8%, 24.6%, and 15.4%, respectively. Together, these three countries accounted for 69.8% of total export flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from India in value, 2017-2020

Imports primary sugar crops to India

Imports in kind, t

In 2020, India's imports of primary sugar crops in volume terms stood at 6 tonnes, showing minimal change from 2019. Over the 2017-2020 period, imports grew by 154.5%, equivalent to an annualized rate of 36.5%.

Annual dynamics of product's imports to India in kind, 2017-2020, t

From 2017 to 2020, the United Arab Emirates and the United States dominated India's imports of primary sugar crops in volume terms, together representing 100.0% of total flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to India in kind, 2017-2020

Imports in value, K $ US

In 2020, India's imports of primary sugar crops in value terms amounted to 6.8 thousand US dollars, with little variation compared to 2019. Between 2017 and 2020, imports increased by 25.4%, corresponding to a compound annual growth rate of 7.8%.

Annual dynamics of product's imports to India in value, 2017-2020, K $ US

Throughout 2017-2020, the United Arab Emirates and the United States were the main suppliers of primary sugar crops to India in value terms, jointly accounting for 100.0% of total imports.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to India in value, 2017-2020