Production of Liquid Glucose

Jsjsknejdlucose is the first derivative of starch. In India, starch was produced from corn as well

as tapioca. It was produced by units in both - the organized and the unorganized sectors.

Almost all units in the organized sector produced liquid glucose from starch manufactured by

them. However, some units in the organized sector and some (about 15) in the unorganized

sector produced liquid glucose from bought-out starch. Most of the tapioca starch based

glucose units were in the South, as the tapioca starch producing units were located there.

There were about 27 units in the organized sector with capacities varying from 4,460 tonnes to

18,000 tonnes per year. The total capacity for glucose production in 1996 was about 277,000

tonnes per year. The South zone led in terms of production capacity followed by the West and

the North. The East zone had no production unit (See Exhibit 3).

Production of liquid glucose was dependent on the relative prices of maize and tapioca starch

which were significantly influenced by maize and tapioca prices. Increased tapioca prices led

to the stoppage of liquid glucose production from tapioca starch. Also, a decrease in tapioca

prices led to an increase in the production of liquid glucose. This was because tapioca starch

units, which were all small and in the unorganized sector, stopped functioning when tapioca

prices went up, being commercially