Even though sugar millers have been demanding permission to export sugar under the open general license (OGL), but official figures show that till now only 53% of their export obligation under advance license scheme has been fulfiled.
The government recently allowed the export of about 11.05 lakh tonne of sugar through the Advance Licence Scheme (ALS), under which mills are required to meet an equivalent export obligation by March, 2011.
Sugar mills imported over 20 lakh tonne of sugar between 2004 and 2008 through the ALS to make up for the shortage in domestic production. Sources said of the allowed quantity, release orders (permission to export) have been placed for only 53% of the total quantity, while the actual export might be much less. ?It seems sugar mills want to avail of a new window, without fully utilising the already providing opportunity,? sources said.
Of the 8.09 lakh tonne of sugar allowed for export till March 31, release orders have been sought for only 5.20 lakh tonne. ?With just three months left for the export permission under ALS to close, it remains to be seen how much quantity is actually exported under ALS,? sources added. The government has banned unrestricted exports of sugar under OGL since February 2009.