Sugar mills have to be located near the sugarcane fields because of factor that it is perishable. Sugarcane contains sucrose and once you cut the sugarcane, the sucrose content starts to decline. Hence, raw material must be quickly transported. Sugarcane is the main source for sugar in India. Sugar industries is set up in the sugarcane producing areas generally for ease of transport storage and maintenance and also since sugarcane is a perishable agricultural product.