Main problems faced by sugarcane industry in India are:
1.Low yield of sugarcane: India’s yield is only 64.5 tonnes/hectare as compared to 90 tonnes in Java and 121 tons in Hawaii.
2.Short crushing season: Cropping season of sugar cane is 4 to 7 months. Because of this short crushing season farmers remain idle without any work for months.
3.High cost of production: High cost of sugarcane, inefficient technology, uneconomic process of production and heavy excise duty result in high cost of manufacturing.
4. Small and uneconomic size of mills: Most of the industries in India have 1000 to 1500 tonnes capacity which is small and uneconomic
5.Regional imbalances in distribution of industry: 60% of production comes from two states - Maharashtra and Uttar Pradesh.
6.Low per capita consumption: Per capita consumption of sugar is very less which is 16.3 kg when compared to 48.8 kg in USA.