Thousands of years ago, sugarcane yielded sugar in New Guinea. Later, its journey led to India and South Asia. India pioneered sugar production, extracting juice by pressing sugarcane and crystallizing it. Originally, people consumed sugarcane raw for sweetness. In 1950-51, the Indian government devised ambitious industrial plans, setting targets for sugar production and consumption.
These plans included license and instalment capacity projections for the sugar industry in Five Year Plans. India is renowned as the birthplace of sugar and sugarcane. The Indian sugar manufacturing company played a crucial role in this historical journey.
Pre-Independent Phase of Development in the Indian Sugar Industry
The first sugar factory using a vacuum pan process and modern milling emerged in Saran, Bihar, in 1904. However, the industry progressed without protective measures. India relied on sugar imports, totalling 5,19,525 tonnes and was looking to expand its ground and presence.
However, the development in the industry didn't start until the early fifties. It made a turnkey for the sugar industry in India and laid the foundation for the revolution that would change the extraction and export of the products.
India's sugar industry flourished after the conservation of sugar. From 29 factories in 1930-31, it grew to 135 by 1935-36. Sugar production surged to astounding numbers and has only grown since then. The output dipped due to wartime challenges. Later, the production fluctuated between nine and eleven Lacs tones due to unstable sugarcane supplies.
Post-Independent Phase of Development in the Indian Sugar Industry
The sugar industry's second phase of development began after the enactment of the Industries (Development and Regulation) Act in 1951. A Development Council was formed to oversee sugar and allied industries which gave a boost to the Indian sugar Industry
Government policies mandated sugar mills in the cooperative sector. Incentives were provided for new sugar factories. The sugar industry holds a significant position in India's economic development, being the second-largest processing industry after textiles. India is one of the leading countries in the world for sugar production. It plays a vital role in rural industrialization, contributing to the economy, providing employment, and supporting millions of consumers and sugarcane growers.
Despite challenges, the industry continues to grow, with increasing sugarcane cultivation and production. The number of licensed sugar factories rose significantly over the years, with notable shifts towards public and private sector participation.
Reforms in the Sector
The economic reforms have impacted various industries, yet the Indian sugar sector experienced less expected changes. Despite liberalization, the sugar industry remains regulated, prompting calls for deregulation. Economic reforms have not noticeably improved the Indian sugar industry. Political lobbying contributes to slower development compared to countries like Brazil. Yet, the present condition of the industry holds a significant potential that can transform the way sugar business works.
What the Future Holds
The sugar mills of India are evolving each and every day. It is the innovation and drive for sustainable practices that is adding an edge to the largest number of sugar mill in India. The cost-effective initiatives and government regulations are making a difference for them. The sugar Industry and manufacturing have come a long way since its beginning in 1904. And, it has a long way to go as well.
While coming to a close, it is safe to say that the history of the sugar industry is quite rich. All of the experience and innovations in the industry have made a major difference in the current sugar manufacturing process and are helping us embrace the new changes quickly.
