'Sufficient sugar stocks to meet festive demand'

The Union government on Friday said the country had sufficient sugar reserves to meet higher demand during the upcoming festive season and it was "highly premature at this stage" to predict any shortfall in production, following forecasts by a top industry body that output could fall this year.

- Zia Haq

Food prices currently are a pressing concern in the world's largest sugar producer and the Indian Sugar Mills Association (ISMA) this week said output could decline by 3.41% to 31.68 million tonne (mt). The country's annual consumption of the sweetener is about 27 mt.

The government sought to quell any speculation in the markets that could lead to a jump in prices following the forecast of lower production.