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MUMBAI: Indian mills have produced 4.32 million metric tons of sugar since the current season began on Oct. 1, down 10.7% year on year, as mills in two key states started operations later than usual, a leading trade body said on Friday.

Lower sugar production could lead the world’s second-largest producer to refrain from allocating export quotas and support global prices, that are trading near multi-year highs.

Sugar output in India’s Maharashtra set to fall to lowest in 4 years after dry August

The start of sugar cane crushing in the western state of Maharashtra and neighbouring Karnataka was delayed to Nov. 1 because of a dispute with farmers over prices, Jaiprakash Dandegaonkar, president of National Federation of Cooperative Sugar Factories (NFCSF) said.

Mills in the northern state of Uttar Pradesh started operations early this year, he said.

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