The sugar cooperatives of Gujarat asked the government to allow export of sugar at zero per cent duty to ease the fear among sugarcane farmers who are facing a bumper harvest this season. Gujarat sugarcane farmers contribute about 8% of the total sugar produced in the country.
Former chairman of Madhi Sugar Cooperative Dilip Bhakta told, “Farmers are expecting drastic drop in sugar prices as there is much more sugarcane available for crushing. Government need to create a buffer stock of 15-20% of the production at a reasonable price. This would create some confidence among the farmers and prices might settle down at Rs 3,400 per 100 kg.”