Mumbai, Oct 18 (Agency) Chief Minister Eknath Shinde on Tuesday requested to Prime Minister Narendra Modi to intervene and take a suitable decision to the Ministry of Commerce, Consumer Protection and Food and Public Affairs as the sugar mills of Maharashtra are against the quota-based sugar export and this will limit the factories. In the case of sugar, the current open export policy should be continued. In his letter to Modi, the Chief Minister says that in 2021-22, India became the largest exporter of sugar in the world due to the adoption of an open policy by the Central Government in the matter of sugar exports.
This provided financial stability to the sugar mills and also increased foreign exchange. It is known that quota system will be implemented for sugar export from this year.However, saying that this method is a loss to our factory owners, the Chief Minister says that by March, the season of gillita will end in the country. The season in Brazil country starts on April 1 and creates competition that benefits other sugar exporting countries. The government does not have to provide any financial support for sugar export. The quota system also allows factories that are not interested in exporting to transfer their quota to others to make money without actually exporting.
A quota system will create unnecessary administrative hurdles and lack transparency. Also there will be no opportunity for recovery business.With higher crude oil prices in 2021-22, it is beneficial for Brazil to focus on ethanol production rather than sugar. In the future, however, as crude oil prices are likely to fall, Brazil is also likely to focus on sugar production rather than ethanol, so India may also suffer. The State Cooperative Sugar Factory Federation as well as the National Cooperative Sugar Factory Federation as well as the private sector factories in Maharashtra all demand to implement the open sugar export policy. Therefore, the Chief Minister has also said that he should give instructions to the concerned ministry to take a proper decision in this matter.