South Gujarat Sugar Mills Fight for Survival Amid Severe Sugarcane Shortage: Unapproved Crops Become “Sanjeevani” as Production Costs Skyrocket!

The Bittersweet Reality of 2026: Why 12 Major Sugar Cooperatives in South Gujarat are Paying Premium Prices for Non-Member Sugarcane to Keep Chimneys Smoking

The sugar industry, long considered the economic backbone of South Gujarat, is currently facing a turbulent transformation. A South Gujarat Sugarcane Shortage has triggered an unprecedented war for raw materials among local mills. In a startling reversal of historical trends, “unapproved” sugarcane—which mills once rejected to protect member interests—has emerged as a vital lifeline during the 2025-26 crushing season. As farmers increasingly abandon sugarcane in favor of more profitable ventures, mills are being forced to source crops from outside their operational jurisdictions, including distant areas like Mandvi and Mangrol, just to sustain their daily operations.

Crunching the Numbers: 57 Days of Intensive Crushing Operations

Despite the South Gujarat Sugarcane Shortage, the 12 functional cooperative mills in the region have maintained steady production through sheer logistical grit. As of January 7, 2026, the data reveals a high-stakes race to meet production targets.

• Total Crushing Volume: Over the first 57 days of the season, the 12 mills processed a total of 34,36,262 Metric Tons of sugarcane.
• Sugar Output: This massive effort resulted in the production of 32,77,295 bags of sugar.
• The Logistical Strain: To reach these numbers despite the South Gujarat Sugarcane Shortage, mills are paying exorbitant transportation and harvesting labor costs to bring in crops from remote tribal belts.

Performance Report: South Gujarat Sugar Mills (Till Jan 7, 2026)

The following table highlights how different mills are performing amidst the South Gujarat Sugarcane Shortage. While Bardoli leads in volume, Gandevi continues to dominate in sugar recovery efficiency.

Root Causes: Why Farmers are Fleeing Sugarcane Cultivation

The South Gujarat Sugarcane Shortage is not a sudden accident but the result of three major socio-economic shifts in the agricultural landscape:

1. Shift to Alternative Cash Crops: With the rising cost of fertilizers and specialized labor, farmers are shifting toward horticulture (Mango, Sapota) and other high-value cash crops that offer quicker returns compared to the 12-14 month sugarcane cycle.
2. Rapid Urbanization & Industrialization: The expansion of GIDCs and residential projects in Vapi, Valsad, and Surat has significantly reduced the net cultivable area for sugarcane.
3. Climate Instability: Frequent unseasonal rains and “Smog” conditions in late 2025 have increased the prevalence of red rot and other pests, lowering the average yield per acre and discouraging new sowings.

The Rise of “Unapproved” Sugarcane as a Lifeline

In previous decades, mills strictly crushed only “member-approved” cane. However, the South Gujarat Sugarcane Shortage has leveled the playing field. Jaggery units (Kolas) and sugar mills are now in a bidding war for unapproved crops. This has inadvertently benefited farmers in Mandvi and Mangrol, who are receiving competitive rates as mills absorb the high transit costs to keep their machinery running at optimal capacity.

Future Outlook: A Call for Innovation

If the South Gujarat Sugarcane Shortage persists, small-scale mills may face permanent closure by 2027. Experts suggest that mills must now introduce “Incentive Schemes” to bring farmers back. This includes providing subsidized high-yield seeds, mechanized harvesting solutions to counter labor shortages, and ensuring a minimum support price that offsets the 2026 inflation in input costs.

#SouthGujaratSugarcaneShortage #SugarIndustry2026 #BardoliSugar #GandeviSugar #FarmerCrisisGujarat #AgricultureEconomy #VapiNews #ValsadSugarMill #SugarCrushingSeason #RuralEconomyGujarat

📌 Note:
This article is published on OurVapi.com The information presented is based on public sources, local inputs, field observations, and the author’s independent assessment. It is intended to be useful primarily for readers from Vapi, Valsad, Umbergaon, Sarigam, Bhilad, Silvassa, Daman, and nearby regions.

The core objective of OurVapi.com is to deliver accurate, useful, factual, and verified information with a strong focus on local news, public awareness, culture, lifestyle, and community-related topics.

If you found this article helpful, please share it and leave your thoughts in the comments section.
Stay connected with OurVapi.com for reliable local news, updates, and community-focused content.