India’s sugar production is expected to rise 18% to 34.90 million tonnes in the 2025-26 season starting October, with the industry projecting scope for exports of 2 million tonnes, according to preliminary estimates released by the Indian Sugar and Bio-energy Manufacturers Association (ISMA) on Thursday.The output projection includes expected diversion of sugar for ethanol production and comes on the back of a likely 42% jump in sugarcane output to 13.26 million tonnes in 2024-25, driven by better yields and marginal increase in acreage due to a favourable monsoon, the industry body said, reported PTI.Sugar production for the ongoing 2024-25 season (October–September) is estimated at 26.10 million tonnes, with the government currently allowing exports of 1 million tonnes.“With higher gross sugar output expected in the next season, there is scope for export of 2 million tonnes in 2025-26,” ISMA President Gautam Goel said while releasing the first estimate. He also projected diversion of 5 million tonnes for ethanol production, up from 3.5 million tonnes this season.After ethanol diversion, ISMA expects 30 million tonnes of fresh sugar to be available, along with an opening stock of 5.2 million tonnes, which will more than cover the projected domestic consumption of 28.5 million tonnes.Goel urged the government to grant timely permissions for sugar exports and ethanol diversion, warning that delays could hurt the industry. “If you don’t act on time, it would cause problems for the sector,” he said.ISMA also called for a revision in the minimum selling price of sugar, and increases in prices of ethanol made from B-heavy molasses and cane juice.In its state-wise projections, ISMA pegged sugar output at 13.26 million tonnes in Maharashtra, 10.25 million tonnes in Uttar Pradesh, and 6.61 million tonnes in Karnataka for 2025-26.On the issue of raw sugar imports, ISMA Director General Deepak Ballani said there was no requirement for imports, citing an adequate closing stock of 5.2 million tonnes.Ballani noted that while the crop is still in an early stage and subject to monsoon variability, the preliminary estimates were based on current ground assessments. ISMA will release its second estimate in September, as more accurate projections become possible.