By Uttar Pradesh Chief Minister Yogi Adityanath has sought to allay concerns over sugar availability, saying the state currently has around 28 lakh tonnes of sugar in reserve, enough to meet its consumption needs for about seven months. His remarks come amid reports of rising sugar prices and concerns about possible supply shortages in parts of the country.
Yogi said Uttar Pradesh, the country’s second-largest sugar producer after Maharashtra, is in a position not only to meet its own requirement but also support supplies elsewhere if needed. He also pointed to the state’s large sugar production capacity, saying mills are expected to restart from October 15 and could produce around 90 lakh tonnes of sugar during the upcoming crushing season.
Government says there is no shortage in UP
The Chief Minister had earlier maintained that there was no physical shortage of sugar in Uttar Pradesh and directed officials to keep a check on hoarding, black marketing and rumours regarding supplies.
The state government and sugar mills have similarly rejected claims of an immediate shortage. Officials have suggested that speculation and possible hoarding may have contributed to the recent increase in prices.
The Centre’s decision to permit sugar imports has, however, added to speculation about supply pressures in other parts of the country.
UP has offered to help meet national demand
Veena Kumari Meena, Additional Chief Secretary for Sugar Industries, Cane Development and Excise, said Uttar Pradesh has sufficient stocks to meet its own consumption requirements through January and February next year.
She said the state had also indicated its willingness to provide sugar to the Centre if additional supplies were required elsewhere. According to Meena, UP alone has enough stocks to contribute towards roughly two months of the country’s sugar requirement.
Her immediate concern, she said, is to ensure that existing stocks are adequately managed before fresh sugar starts reaching the market after the new crushing season begins.
Sugar consumption in UP around 4 lakh tonnes a month
Deepak Guptara, General Secretary of the UP Sugar Mills Association, said the state consumes approximately 4 lakh tonnes of sugar every month.
The association has disputed reports of a physical shortage, saying its member mills have adequate carry-over and operational stocks to meet current requirements. Guptara estimated that available stocks could cover around five to six months of consumption.
The difference between the association’s estimate and the Chief Minister’s seven-month figure reflects varying assessments of available stock and consumption, but both indicate that there is no immediate supply crisis in the state.
Price rise linked to supply concerns
Meena, who also holds the additional charge of Cane Commissioner, said the recent increase in sugar prices could be linked to a disruption in the movement of sugar from Maharashtra to wholesalers.
According to her, concerns over supplies from Maharashtra may have triggered rumours of a broader shortage, which then affected market prices.
The government is therefore keeping a watch on the supply chain while trying to prevent panic buying and speculative activity.
Sugar production has declined in recent years
While the state currently has adequate stocks, Uttar Pradesh’s sugar production has declined over the past two years.
Production fell from 104.13 lakh tonnes in 2023-24 to 92.45 lakh tonnes in 2024-25, before declining further to 89.52 lakh tonnes in 2025-26. Cane crushing also dropped from 981.68 lakh tonnes in 2023-24 to 878.12 lakh tonnes in 2025-26.
The figures indicate that the state’s comfortable current stock position does not necessarily mean production pressures have disappeared.
Ethanol production rises sharply
The decline in sugar production has coincided with a substantial increase in ethanol production. Ethanol output rose from 152.4 crore litres in 2023-24 to 225 crore litres in 2025-26.
There has been some concern that increased diversion of sugarcane towards ethanol could affect sugar availability. However, Meena rejected that explanation, saying only around 8-9% of sugarcane was being diverted for ethanol.
She attributed the decline in sugar production instead to lower average sugarcane yields and cane-related diseases.
For now, the UP government’s position is that existing stocks are sufficient to meet demand, while the next crushing season is expected to replenish supplies from October. The bigger challenge will be maintaining stable prices and ensuring that speculation or supply-chain disruptions do not create an artificial shortage.
