State any three problems faced by sugar industry.

Three problems faced by sugar industry are:

1. Low and irregular supply of raw material — The yield per hectare is very low as compared to other sugarcane producing areas of the world. This results in shortage of sugarcane to sugar mills.
2. Fluctuations in the output of sugarcane — Since the industry is agro-based, it is seasonal. Due to erratic nature of monsoons sugarcane production fluctuates.
3. Small and uneconomic size of sugar mills — Many sugar mills are uneconomic as they are of very small size with a capacity of 1000 to 15000 tonnes per day.