In recent years, there is a tendency among the sugar mills to shift and concentrate in the southern and western states, especially Maharashtra because (i) the cane produced here has higher sucrose content and yields greater quantity of sugar. (ii) the cooler climate here ensures longer crushing season as it prevents drying of cane. (iii) cooperatives are more successful in these states. Two challenges faced by sugar industry are : (a) Seasonal nature of the industry. (b) Old and inefficient methods of production.