PHOTO
Power lines supplying electricity by stated owned Eskom run through sugar cane fields on a Tongaat Hulett farm in Shongweni, South Africa April 29, 2018.
MUMBAI- India's cabinet has approved incentives to encourage cash-strapped mills to export up to 6 million tonnes of sugar in the 2019/20 marketing season starting from Oct. 1. The export subsidies are designed to increase shipments from the world's biggest sugar producer and reduce their brimming inventories. But that could pressure global prices SBc1 LSUc1 which are trading near their lowest level in 11-months.
The government will provide a subsidy of 10,448 rupees ($146.14) per tonne for the exports, it said in a statement.
Reuters earlier reported that India will keep its sugar export subsidies despite complaints to the World Trade Organization (WTO) from rival producers Brazil and Australia.
($1 = 71.4920 Indian rupees)
(Reporting by Rajendra Jadhav; Editing by Kirsten Donovan) ((rajendra.jadhav@thomsonreuters.com; +91-22-68414378 ; Reuters Messaging: rajendra.jadhav.thomsonreuters.com@reuters.net))