India's sugar output rose 22.2 percent in the first two months of the new season from October despite crushing delays in its top producing state, a leading industry body said on Monday, boosting the chances of more sugar exports by the government.Last month, the world's top consumer of sugar, and the biggest producer after Brazil, allowed mills to export 1 million tonnes, kicking off the overseas sales of the sweetener in the 2011/12 season.
Even though stocks are plentiful and forecasts for production remain strong, the government is expected to allow a second tranche of exports only after getting a clearer picture about total output once cane crushing gathers pace this month.Food inflation, which has been stubbornly high over the past year, softened to about 8 percent in the week ending November 19, the lowest in nearly four months.Sugar mills have produced 22.2 million tonnes of sugar between October 1 and November 30, up from 18.4 million tonnes in the year ago period.