Sugar production in tamil Nadu has decreased over the last ten years, from 22.5 lakh tonnes in 2011-12 to nine lakh tonnes in 2020-21. The government has provided the co-operative and public sector sugar mills with the complete cane cash balance. Sugarcane producers have gained confidence as a result of the lack of a cash balance on the crop.
If the closed co-operative sugar mills are reopened now and the cane is ground for the season 2021-22, the area under sugarcane cultivation would rise in favourable wet conditions, as will sugar output. As a result, in 2021-22, the State government shall provide the required money to the Co-operative sugar Mills for reconstruction work, mill renovations, and sugarcane grinding.