Maharashtra’s Sugar Industry: A Tale of Triumph and Challenges-sugartoday

As India’s sugar powerhouse, Maharashtra’s 207 factories crushed over 85 million MT of sugarcane in 2024-25, with projections soaring past 111 million MT for 2025-26. But behind these impressive numbers lies a story of stark regional contrasts. Let’s dive into the dynamics shaping this vital industry!

2025-26 Season Overview: Sugarcane and Sugar Projections
Total Area and Cane Availability

Sugarcane cultivation spans 21.89 Lakh Ha, with 16.99 Lakh Ha available for crushing after diversions.
Productivity is estimated at 65.74 to 80 Tonnes/Ha, reflecting regional variations.
Cane Availability and Sugar Production
Total cane availability: 1116.72 to 1358.85 Lakh MT (LMT).
Sugar production estimates based on recovery rates:
- 9.48% recovery: 105.87 to 128.82 Lakh MT
- 10% recovery: 111.67 to 135.88 Lakh MT
- 10.25% recovery: 114.46 to 139.28 Lakh MT
  Ethanol Production Diversion
Area diverted for ethanol: 2.58 to 3.14 Lakh Ha.
Cane diverted: 206.62 LMT.
Sugar diverted due to ethanol: 16.17 LMT.
Sugar Production After Diversion
9.48% recovery: 89.69 to 112.65 Lakh MT
10% recovery: 95.50 to 119.71 Lakh MT
10.25% recovery: 98.29 to 123.11 Lakh MT
These projections highlight Maharashtra’s robust capacity but underscore the need to balance sugar and ethanol production amid regional challenges.

Western Maharashtra: The Sugar Success Story
Western districts like Kolhapur, Satara, Pune, Ahmednagar, and Sangli are the backbone of Maharashtra’s sugar dominance, leveraging reliable irrigation, strong cooperatives, and cutting-edge farming practices.

Kolhapur: The crown jewel with 23 factories, 96% capacity utilization, and a projected 12.8M MT contribution in 2025-26. Powered by cooperatives like Warana! 💪
Satara: Near-perfect 99% utilization and 92 MT/Ha productivity, setting the gold standard for efficiency.
Pune: Leading the pack with 106 MT/Ha productivity and 94% utilization, driven by private giants like Baramati Agro.
Ahmednagar: A model of public-private synergy, hitting 100% utilisation across 22 factories.
Sangli: A reliable hub with 95% utilization, despite one underperforming unit.
Solapur: A giant with 36 factories but lagging at 86% utilization, signaling untapped potential.
Key Takeaway: Western Maharashtra’s success is rooted in water access, cooperative strength, and optimized operations. A blueprint for excellence!

Eastern Maharashtra: Navigating Tough Terrain
Marathwada and Vidarbha face water scarcity, erratic rainfall, and crop competition, creating a challenging landscape for sugar production.

Dharashiv (Osmanabad): In crisis with 65% utilization, some factories at near-zero output due to severe cane shortages.
Nanded: Private mills struggle at 74% utilization, with one large unit at just 32%.
Latur: Volatile performance with 96% utilization masking extremes, from 36% to above-average.
Beed: Mixed results—private mills hit 106%, but cooperatives falter, with one at 4%.
Parbhani: Private-dominated with 92% utilization but inconsistent across mills.
Jalna: A stable anchor with 97% private mill utilization and 81 MT/Ha, Marathwada’s best.
Hingoli: A miracle at 133% utilization, defying regional constraints through local leadership.
Vidarbha’s Marginal Role: Cotton dominates here, with sugar limited to small-scale operations:
Yavatmal: Private mills shine at 114%, but cooperatives lag at 64%.
Buldhana: A single factory achieves 130% utilization, proving small-scale success.
Nagpur & Bhandara: Struggling with low utilization and minimal cane cultivation.

North Maharashtra: Pockets of Promise and Pitfalls

Aurangabad (Chh. Sambhaji Nagar): A bright spot with 105% utilization, led by Baramati Agro’s Kannad unit.
Nandurbar: Underperforming at 70% despite 14,000 TCD capacity due to cane supply issues.
Jalgaon: Facing collapse with zero crushing in one factory and 41% in another.

Strategic Insights for the Future
Maharashtra’s sugar industry is a study in contrasts—Western efficiency versus Eastern struggles.

To sustain its leadership, the industry must:

✅ Maintain Western Maharashtra’s high performance through continued investment in cooperatives and technology.

✅ Address Eastern challenges with innovative irrigation, crop diversification, and climate-resilient strategies.

✅ Bridge regional disparities to ensure balanced growth in an increasingly variable climate.

The Big Picture: Maharashtra’s sugar sector is poised for growth, but unlocking its full potential requires targeted interventions to make the East as robust as the West.

(Writer Dilip Patil is Co-Chairperson of Indian Federation of Green Energy and rtd MD of Samarth Sugar)