Abstract: SAP has been delivering on its Sugar industry strategy by expanding its capabilities for manufacturing and supply chain management, broadening its composite package applications in areas such as emissions management, pricing management, and manufacturing dashboards, and focusing on mid-market companies. To implement an integrated system of production planning and materials management, there must have a central database wherein anyone in the company can find out all there is to know about any material passing through the plant. Everyone must use the same rules and data structures when they enter data about material details. The integration of all material data in a single database object eliminates redundant data storage. Areas such as purchasing, inventory management, material requirements planning (MRP), invoice verification, and so on, can all use the same data. By implementing SAP (MM-Module) in sugar industry for Material requirement planning, the product can be ordered and received within safety period. Based on material group classified under ABC analysis. Planning can also be done on priority by calling vendors for particular commodities through online.