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India's Sugar Struggles

Posted on August 11, 2009 by Krista Moore
Topics: Agriculture, Food, Imports/Exports
Countries: India
Sugar is a popular commodity in India, where imports are expected to rise as droughts cause sugar prices to rise by 50 percent. Here vendors make sugar cane juice. Photo: <a href="http://www.flickr.com/photos/jim-c/229985380/in/se">Jim-C (flickr)</a>
Sugar is a popular commodity in India, where imports are expected to rise as droughts cause sugar prices to rise by 50 percent. Here vendors make sugar cane juice. Photo: Jim-C (flickr)

Sugar rushes tend to be followed by sugar crashes.

The western Indian state of Maharashtra has been called the "sugar bowl" of India, but that may be changing. A New York Times video sheds some light on the problems farmers in Maharashtra face as sugar production decreases, causing prices to rise.

India is the world's second-largest sugar producing country. But factors like insufficient rainfall, small plots of land and government regulation of the market are impacting sugar production in India and therefore driving up the price, making imported sugar a more affordable option in India.

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