Indian Sugar Industry

Sugar industry Cyclicality of the Indian sugar industry. We will look at the sugar industry from four basic points of view onwards analyzing the industry. Demand: India is the highest consumer of sugar in the world (22mmt1) introduce a graph of world sugar utilizationbut per capita usance of 21kg/year is truly less compared to the world average of 37kg/year. This shows the potential for growth in Indian market. Main purposes of sugar as sweeteners, preservatives, accelerate hullabaloo etc but the man uses is sweetener. Apart from the direct aspiration by the menage users there are indirect industrial users who cultivate bulk of the free market for sugar. When the consumption of sugar is cautiously looked it can be seen that average per head consumption decreases with household income. Despite this fact the demand for sugar tends to be cost inelastic across all sections because of the fact that sugar occupies rattling less portion of monthly budget. Looking into the future the consumption growth can be attributed to 2 factors, namely existence growth and increase in income train. Historically per head consumption has grown at a CAGR of 2.5%. Graph of total consumption india Supply: Sugarcane is the main raw material for the take of sugar.

In India 90% of the sugar production comes mainly from 6 states namely Uttar Pradesh, Maharastra, Tamil Nadu, Karnataka, Andrapradesh and Gujarat. While UP and Maharastra are or so important with 60 % contribution. Sugar production has increased by 5%CAGR over the past decade after liberalization. confine yearly production data Farming Conditions: Sugarcane plantation is usually done in frost free, warm and humid climate. It requires a High temperature of 20-40 Celsius for atleast 8 months. Anything above or below this level affects the growth significantly. In terms of soil variety arenaceous and loamy soil is good for the cultivation. In India sugarcane is seed thrice a year with 70 % of the planting victorious place... If you want to get a full essay, order it on our website: Orderessay

If you want to get a full essay, wisit our page: write my essay .