Business News Desk,In the coming days, your sip of tea may be hit by inflation. Giving chocolate to children can pocket. From biscuits-cookies to sweets and cold drinks can be expensive. The reason for this is sugar which adds sweetness to all these food items. Sugar prices are trading at a six-year high in futures markets around the world. The production of sugar has increased in the world, due to which the stock of sugar is at a four-year high, yet there is a possibility of a rise in the prices of sugar. If the price of sugar increases in other countries, India too will not remain untouched by it. Despite the increase in production, sugar has become costlier in the retail market by up to 10 per cent in the last one year in India. After which the government had imposed restrictions on the export of sugar.
There are many reasons for the rise in sugar prices in the futures market. There is a possibility of the sugarcane crop being weak in India. Due to this, the government may need to ban exports. The Central Government is promoting Ethanol Mix Petrol. The sale of petrol mixed with 20 per cent ethanol is being promoted. In such a situation, sugar mills are now giving more emphasis on making ethanol from sugarcane, due to which the production of sugar is expected to be less. China is withdrawing the restrictions imposed due to Corona (Covid-19) due to which the demand for sugar is increasing there. There is a possibility of crop failure in European countries due to drought. And if there is a decrease in the production of sugar in Brazil for any reason, then there can be a huge increase in the prices of sugar.