India has been appointed as the Chair of the International Sugar Organisation (ISO) for the year 2024. The announcement was made during the 63rd council meeting of ISO, held at its headquarters in London. This prestigious position solidifies India’s role as a leader in the global sugar sector and reflects the nation’s increasing influence in the domain. A press release on this announcement was issued on November 24, 2023.
During the ISO Council Meeting, the Secretary (Food), Government of India, expressed gratitude for the trust bestowed upon India and outlined the country’s vision for its chairmanship. He emphasized the importance of collaboration among member countries, seeking support for India’s initiatives to promote sustainable practices in sugarcane cultivation, sugar and ethanol production, and the efficient utilization of by-products.
India, holding the title of the largest consumer and the second-largest producer of sugar globally, wields significant influence over global sugar trends. With a 15% share in global sugar consumption and contributing 20% to global sugar production, India’s leadership in the ISO is seen as a natural fit for the nation. The ISO, with approximately 90 member countries, serves as the apex international body for sugar and related products.
Being the market leader in the Eastern Hemisphere, alongside Brazil in the Western Hemisphere, India’s chairmanship signifies its pivotal role in shaping the global sugar market. Notably, India has become the world’s third-largest ethanol producer, after the USA and Brazil. This underscores India’s commitment to green energy and its innovative approach to addressing surplus sugar challenges by leveraging ethanol as a solution, aligning with COP 26 targets.
India has seen a significant increase in ethanol blending, rising from 5% in 2019-20 to 12% in 2022-23. The production has also surged from 173 crore litres to over 500 crore litres during the same period.
The Indian sugar industry has undergone substantial modernization, expansion, and diversification, tapping into the potential of by-products to generate additional revenue streams. Throughout the challenges posed by the Covid-19 pandemic, the industry demonstrated resilience by operating mills during lockdowns and even contributing to the production of hand sanitizers to meet national demand.
India’s unique distinction as the payer of the highest cane price to farmers, coupled with the efficiency to operate without government financial assistance, has been crucial in transforming the sugar industry into a major player in green energy. The synergy between the government and the sugar industry has not only rejuvenated the sector but has also set an example of prioritizing farmer welfare and industry sustainability.
The era of pending cane dues is now a thing of the past, with over 98% of the dues for the last season (2022-23) already paid, and more than 99.9% of previous seasons’ dues cleared.
In addition to benefiting farmers and the industry, India has prioritized consumers by maintaining consistent and stable domestic sugar retail prices. Despite a 40% global price hike within a year, India has contained sugar prices to a mere 5% increase from the previous year, without imposing an additional burden on the industry.
On the technical front, the National Sugar Institute in Kanpur has expanded its collaborations, sharing the latest technologies and best practices with several countries, including Indonesia, Nigeria, Egypt, and Fiji. This collaborative approach reflects India’s commitment to advancing the sugar industry globally.
