MUMBAI, April 23: Indias sugar consumption this year is poised to hit a record high as demand during the peak summer season gets a boost from heat waves and the mobilisation of millions for elections in the scorching temperatures.
Higher consumption would lift local prices and boost margins of sugar producers such as Balrampur Chini , Shree Renuka Sugars , Bajaj Hindusthan, and Dwarikesh Sugar and help them in making cane payments on time to farmers.
Consumption of cold drinks and ice cream, and as a result demand for sugar, rises in India during the summer months roughly from mid-March to mid-June.
But this year demand is above average as heat waves and election rallies boost consumption of ice-cream and soft drinks, said Avantika Saraogi, executive director at Balrampur Chini Mills.
Maximum temperatures in many parts of India have risen above 40 degrees Celsius, and the weather department has forecasted that the country is likely to experience more heat-wave days than normal between April and June.
During the harsh summer, India is hosting the worlds largest election, in which nearly a billion people will be eligible to vote. —Reuters
