The sugar industries are concentrated in the sugar producing areas because the raw materials (sugarcane) used by this industry is bulky. To reduce the cost of transporting sugarcane to sugar industries, they are concentrated in sugarcane producing areas.
The three problems faced by the sugar industry in India are:
- Old and inefficient methods of production
- Delay in transporting sugarcane to the factories
- The need to make maximum use of bags.
- Above all seasonal nature of the industry is also a major issue
