Advocating Stability: Amitabh Kant Emphasizes Long-Term Policy for Sugar Sector

G20 Sherpa Amitabh Kant stressed the need for a long-term, consistent policy for the sugar sector to boost India's development by 2047. Industry leaders urged lifting the export ban and increasing sugar prices. Union Minister and industry figures highlighted the sector's role in GDP growth and achieving sustainability targets.

G20 Sherpa Amitabh Kant on Saturday called for a ''long-term predictability and consistency policy'' for the sugar sector, deeming it vital for India's aim to become a developed economy by 2047.

Kant made this statement as the industry lobbied for the removal of a sugar export ban and an increase in the minimum selling price of sugar, citing the alignment with cane prices, among other industry requests.

''I totally agree that we need a long-term predictability and consistency of the policy. Otherwise, it will be difficult for the sector,'' Kant stated during a conference by All India Sugar Trade Association (AISTA).

Kant underscored the sector's crucial role, mentioning its 1.1% contribution to the GDP and its importance in reducing crude import costs, aiding energy transition, supporting a circular economy, and reaching net zero emissions goals.

''The sugar industry will be a major driver to make India a developed economy by 2047,'' he said.

Kant urged industry players to diversify beyond ethanol and to invest in research for high-yielding, low water-consuming sugarcane varieties, highlighting the need due to India's limited water resources relative to Brazil, the leading producer.

Union Minister of State for Food Nimuben Bambhaniya noted several government initiatives aimed at achieving self-sufficiency in sugar production.

Industry leaders, like Atul Chaturvedi of Shree Renuka Sugars Ltd, highlighted the negative impact of India's sugar export ban, which has benefited Brazil significantly.

''Even if India opens the exports, it will get crumbs as the cream has gone,'' Chaturvedi remarked.

Harshwardhan Patil from the National Federation of Cooperative Sugar Factories (NFCSF) called on the government to allow the export of 2 million tonnes of sugar, warning that uncertain policies could destabilize the industry.

Patil also disclosed that the NFCSF is formulating a 10-year roadmap with long-term policy recommendations, to be presented to the central government next month.

(With inputs from agencies.)