New Delhi, January 29, 2026: India’s sugar production in the 2025–26 season is expected to increase by 13 percent to 29.6 million tonnes, after excluding the quantity diverted for ethanol production, according to the All India Sugar Trade Association (AISTA).
In its first estimate for the season ending in September 2026, AISTA said net sugar output will be higher than the 26.2 million tonnes produced in the 2024–25 sugar year. However, sugar exports are likely to remain lower than the government-approved quota.
The association noted that due to logistics-related challenges, the amount of sugar used for ethanol production in 2025–26 is expected to be lower than the 3.4 million tonnes used in the previous season.
With opening stocks of 4.7 million tonnes and net production of 29.6 million tonnes, total sugar availability is estimated at 34.3 million tonnes. This is comfortably higher than the projected domestic consumption of 28.7 million tonnes.
Although the government has allowed the export of 1.5 million tonnes of sugar, AISTA expects actual exports during 2025–26 to be around 0.8 million tonnes. Closing stock levels are projected at about 4.8 million tonnes.
At the state level, Maharashtra—the country’s largest sugar producer—is expected to see output rise from 8.1 million tonnes last season to about 10.8 million tonnes in 2025–26. In Uttar Pradesh, the second-largest producer, production is likely to increase from 9.3 million tonnes to 9.41 million tonnes. Karnataka, the third-largest producer, is expected to record a sharp rise from 4.3 million tonnes to 4.91 million tonnes.
AISTA also said that sugar crushing in Maharashtra is expected to continue until the end of February, though in some districts such as Pune, Solapur, Jalna, and Latur, several mills may operate beyond that period.
The association added that strong demand for jaggery and sugar, along with higher prices, has led to higher-than-usual diversion of sugarcane toward jaggery production units.
