MUMBAI, June 1 (Reuters) - Indian sugar mills' output rose by...

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    MUMBAI, June 1 (Reuters) - Indian sugar mills' output rose by 13% year on year to 30.57 million tonnes in the first eight months of the 2020/21 marketing year, helped by an output jump in the western state of Maharashtra, a trade body said on Tuesday.

    The country is the world's second-biggest sugar producer and the higher output could weigh on global prices SBc1 LSUc1 .

    By the end of May, almost all sugar mills closed operations after crushing their available cane, the Indian Sugar Mills Association (ISMA) said in a statement.

    Maharashtra, India's second-biggest sugar-producing state, churned out 10.63 million tonnes of sugar in the first eight months of the season that started on Oct.1, compared with 6.2 million tonnes a year earlier, ISMA said.

    Exports have gained momentum and mills have signed contracts to export 5.8 million tonnes of sugar so far in the current marketing year, the trade body said.

    A few sugar mills are also exporting sugar without the support of government subsidies because they need funds to make cane payments to farmers, which became difficult after coronavirus lockdowns curbed local demand, the ISMA said.

 
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