India’s sugar industry is one of the largest in the world, ranked as the second-largest exporter of sugar globally. With over 500 sugar mills across the country, India is a significant player in the global sugar market, producing more than 30 million tons annually. The industry is expected to grow further due to favorable climatic conditions, government support, and the rising demand for sugar and ethanol.
The government’s initiatives, including sugar export subsidies and blending ethanol with petrol, provide growth opportunities. Key players in the Indian sugar industry include Balrampur Chini Mills, Shree Renuka Sugars, EID Parry, and Dalmia Bharat Sugar, all of which continue to expand operations and innovate. The sector holds promising prospects with increasing demand for biofuels and growing global market penetration.
Government Initiative
The Indian government is actively promoting ethanol blending as part of its strategy to reduce dependence on imported crude oil, enhance energy security, and address environmental concerns. Under the National Biofuels Policy, the government aims to achieve 20% ethanol blending in petrol by 2025, up from the current level of about 10%.
This push is expected to reduce carbon emissions and create a sustainable, homegrown energy source. Additionally, the initiative supports the sugar industry by increasing ethanol production from surplus sugarcane, benefiting farmers and creating new economic opportunities. Incentives and subsidies are being offered to accelerate the adoption of ethanol-blended fuel.
Share Price
The shares of SBEC Sugar Ltd. hit the upper circuit of 10% at Rs. 61.8 as of December 16, 2024.
Recent Updates
Expansion of Plant Capacity Approved
In accordance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company has received approval for the Expansion of plant capacity to 10,000 TCD(Tonnes of Canes Crushed Per Day). This expansion will enhance the production capabilities and improve operational efficiency.
Environmental Compliance and Approval
The company has been granted Consent to Establish (CTE) from the Uttar Pradesh Pollution Control Board (UPPCB). This approval is in line with the requirements of the Water (Prevention and Control of Pollution) Act, 1974, and the Air (Prevention and Control of Pollution) Act, 1981, ensuring that the expansion adheres to environmental standards.
Commitment to Sustainable Growth
A company spokesperson stated, “We are committed to sustainable growth, ensuring that our expansion aligns with environmental regulations and enhances production efficiency.” This approval marks a significant step forward in our growth strategy, reflecting our focus on long-term sustainability and development.
About the Company
Incorporated in 1998, SBEC Sugar Ltd is a leading player in the sugar manufacturing industry. The company is promoted by the Modi Group and SBEC Systems Ltd, UK, combining strong business acumen with international expertise. SBEC Sugar focuses on producing high-quality sugar, catering to both domestic and global markets.
The Modi Group, the promoter company, is recognized as a global leader in project design, engineering, and consultancy services, bringing a wealth of experience to SBEC Sugar. The company continues to expand its operations, contributing to the growth of India’s sugar industry while maintaining high standards of quality and sustainability.
Written By: Dipangshu Kundu
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