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Sugar Industry in India 2012


The market will be boosted by the rapidly growing food and beverage industry with increasing production of confectionaries Johnny Gaudreau Youth Jersey , resulting in increased demand for sugar. The report begins with the market overview section, providing details on the domestic sugar production and consumption. India is the world鈥檚 largest sugar consuming country and is also the second largest in terms of sugar production. The growth of sugar factories along with the sugar industry segments depicts the sugar industry scenario in India. The sugarcane overview section provides a clear idea about the linkage between the sugarcane farmers and millers, including growth of sugarcane production and cane acreage. This is followed by the sugar industry value chain, illustrating the structure and operational mechanism in the sugar plants and sugar refineries, including the distillery and cogeneration process. regional distribution section provides a vivid description of the sugar industry in the largest sugar producing states across the country, including Maharashtra Jaromir Jagr Premier Jersey , Uttar Pradesh, Karnataka, Tamil Nadu, Andhra Pradesh, Gujarat, Haryana Matthew Tkachuk Premier Jersey , Punjab and Bihar. This section provides state-wise information, such as no. of sugar factories, sugar production, average sugarcane production, sugarcane area and production.


Factors driving the growth of sugar industry in India are also explained in detail. Growing population coupled with rising income is providing impetus to the growth in the country鈥檚 sugar consumption, benefiting the overall sugar industry. India is the world鈥檚 second largest populated country James Neal Premier Jersey , representing about 17.31% of the global population. Aggressive growth in the food and beverage industries will lead to the increasing demand for sugar. High sugar content in confectionaries, including chocolates, pastries and ice-creams, will drive the domestic demand for sugar. By-products, such as ethanol and power via cogeneration provides cross functional and cross business opportunities. Growing pharmaceutical market and low per capita sugar consumption in India provide opportunities for the players to capitalize upon. The challenges hindering the market are illustrated. Oversupply situation coupled with higher cane prices results in declining profit margin for the players in the sugar industry. Cyclical nature of the crop results in volatility in sugar production leading to high cane arrears. The present pricing policy is highly government regulated resulting in limited bargaining power of the sugar millers.


The government initiatives section provides a detailed description about the Pre-Budget Memorandum 2012-13, including removal of 10% levy sugar quota Johnny Gaudreau Premier Jersey , implementation of tax incentives, Cenvat Credit on Bagasse, tax deduction under section 35 AD and exemption from both service tax and value-added tax. This is followed by the government鈥檚 consideration to decontrol the sugar sector.


The competition section begins with the Porter鈥檚 Five Forces analysis for the sugar market. It outlays the competitive landscape of the sugar market in India briefing about the domestic and foreign players existing in the market. This section provides a three dimensional analysis of domestic key players鈥?revenues, profits and market capitalization. The report also features brief profiles of major domestic and foreign players in the market and a snapshot of their corporation, financial performance along with the key financial ratios, business highlights and their product portfolio providing an insight into the existing competitive scenario.


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