Date:02/07/2008 URL: http://www.thehindubusinessline.com/2008/07/02/stories/2008070250491300.htm

Back 30 l tonnes sugar buffer released

Our Bureau

New Delhi, July 1 The Centre has released 30 lakh tonnes (lt) of sugar as the free sale quota (FSQ) for mills to sell in the open market during the July-September quarter. This is lower than the 36 lt released for the same quarter of last year.

However, the Centre has decided to dismantle the second buffer stock of 30 lt created for a period of one year from September 1, 2007 to August 31, 2008, on its due date, i.e. September 1, 2008. Factories have been allowed to freely dispose of 25 per cent of the sequestered quantity during August-September and the remaining 75 per cent at any point of time during the new sugar season (October-September) without awaiting release orders from the Directorate of Sugar.

Earlier, mills had been allowed to similarly sell 20 lt of sugar held in first buffer stock at any point of time during 2007-08 sugar season from May 1, 2008 up to September 30, 2008 following its dismantling. “With these decisions, it is estimated that the total availability of non-levy sugar for sale in the domestic market during July-September, 2008 would be 48 lt”, an official release said.